An example of direct foreign investment is given by

Question

Quizplus · Accepted Answer

Direct foreign investment involves a company from one country making a physical investment in another country, such as setting up a subsidiary or purchasing a company. Multinational corporations like Ford engage in this type of investment by setting up manufacturing plants or acquiring local companies in foreign countries. Choices A and B involve financial investments rather than physical investments, which are not considered direct foreign investment.

An Example of Direct Foreign Investment Is Given by