24.Multinational enterprises face problems since they
A) cannot benefit from the advantages of comparative advantage.
B) may raise political problems in countries where their subsidiaries operate.
C) can invest only at home, but not overseas.
D) can invest only overseas, but not at home.

Question

Quizplus · Accepted Answer

Multinational enterprises may face political problems in countries where their subsidiaries operate, such as conflicting laws, regulations, and cultural differences. This can create challenges for the operations and profitability of the subsidiary, as well as potential negative impacts on the reputation of the multinational enterprise as a whole. The other choices are not accurate as multinational enterprises can benefit from the advantages of comparative advantage and can invest both at home and overseas.

24.Multinational Enterprises Face Problems Since They