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FDI and Producing in a Foreign Country May Be Preferable

Question 14

Multiple Choice

FDI and producing in a foreign country may be preferable to exporting:


A) since most managers of domestic plants wish to leave to other countries.
B) since machinery and buildings are usually more extravagantly built in foreign countries.
C) since production is increased due to high labor skills.
D) in order to serve consumer tastes and preferences in the foreign market.
E) in order to lower the complexity of doing business.

Correct Answer:

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