When companies realized they could produce in the most efficient and productive locations in the world and simply export to markets worldwide, a new surge of foreign direct investment flowed into ________.
A) low-cost newly industrialized nations and emerging markets
B) highly developed economies
C) the automobile and computer industries
D) totalitarian and theocratic nations only

Question

Quizplus · Accepted Answer

The statement suggests that companies started to invest in efficient and productive locations around the world and export to other markets. This points towards low-cost newly industrialized nations and emerging markets as ideal locations for foreign direct investment. Therefore, option A is the best choice. Option B, highly developed economies, does not fit the context of the statement. Option C, the automobile and computer industries, is too narrow and does not encompass the broader context of the statement. Option D, totalitarian and theocratic nations only, is not supported by the information provided in the statement.

When Companies Realized They Could Produce in the Most Efficient