Which of the following is NOT a significant motive for the formation of multinational enterprises?
A) avoiding tariffs by obtaining foreign manufacturing facilities
B) obtaining the benefits from overseas comparative advantages
C) the acquisition of natural resource supply sources
D) subsidies granted by the home government to overseas corporations

Question

Quizplus · Accepted Answer

While subsidies from the home government can encourage multinational enterprise formation, they are not a significant motive compared to the other options listed. The other options involve accessing new markets, resources, or competitive advantages, which can significantly benefit the multinational enterprise.

Which of the Following Is NOT a Significant Motive for the Formation