Which of the following is true about FDI?
A) A focal firm makes minimum resource commitment as domestic firms take most of the financial responsibilities.
B) A focal firm establishes a relatively permanent base in the foreign market, which increases flexibility for market and company conditions.
C) A focal firm attains decreased risk due to the certainty in the foreign business environment.
D) A focal firm attains maximum control by establishing a physical presence in the foreign market.

Question

Quizplus · Accepted Answer

FDI involves a focal firm establishing a physical presence in a foreign market, which provides maximum control over operations and business activities.

Which of the Following Is True About FDI