International Business Class (Scenario)
Students in Professor Manning's international business class have been assigned the task of explaining the different types of FDI. Professor Manning formed groups among students. The groups are to research their assigned topic and present their information to the class using examples of real-world firms for illustration. Jessica Hanson is the leader of Group A; Manu Patel is the leader of Group B; and Mario Witherspoon is the leader of Group C.
-During his presentation, Mario describes how a large Japanese automaker built a factory in Kentucky. Which of the following topics was most likely assigned to Group C?

Question

Quizplus · Accepted Answer

Mario's description of a large Japanese automaker building a factory in Kentucky is an example of a greenfield investment, which involves a parent company starting a new venture in a foreign country by constructing new operational facilities from the ground up.