Government policies that can make it more attractive for foreign companies to locate operations abroad include all of the following EXCEPT
A) tax incentives.
B) stringent environmental compliance regulations.
C) site development assistance.
D) low cost loans.
E) reduced tariffs, quotas, and percentages of local content required in production of products and services.

Question

Quizplus · Accepted Answer

Stringent environmental compliance regulations would make it less attractive for foreign companies to locate operations abroad, as it would increase their operating costs and decrease their profitability. The other options (tax incentives, site development assistance, low cost loans, and reduced tariffs) are all incentives that governments can offer to foreign companies to encourage them to locate operations in their country.

Government Policies That Can Make It More Attractive for Foreign