Some host countries require foreign companies entering a market to make a direct investment in the country.

Question

Quizplus · Accepted Answer

This is true. Host countries may require foreign companies to make a direct investment in the country to promote economic development, create jobs, or bring new technologies to the country. This investment can take the form of setting up a subsidiary, joint venture, or acquiring a local firm.

Some Host Countries Require Foreign Companies Entering a Market to Make