When Japanese-based Ricoh Company decided to spend $3 million to begin manufacturing thermal paper products in Atlanta, Georgia, they began operating multinationally through a/an ________.

Question

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Direct investment involves a company from one country making a physical investment in another country, such as building a manufacturing plant or acquiring a foreign company. Ricoh Company's decision to begin manufacturing in Atlanta indicates that they made a direct investment. Choice B, license agreement, involves giving permission for one company to use another company's product or technology. Choice C, joint venture, involves two or more companies from different countries joining together to form a new entity. Choice D, international market agreement, is not a commonly used term in business and doesn't accurately describe Ricoh Company's situation. Choice E, multinational corporation, is a broader term that describes any company that operates in multiple countries, but does not specify the type of investment made.

When Japanese-Based Ricoh Company Decided to Spend $3 Million to Begin