Foreign managers trained in the latest management techniques can often help to improve the efficiency of operations in the host country,whether those operations are acquired or greenfield developments.This constitutes a benefit of FDI related to _____.
A)employment effects
B)balance-of-payments effects
C)effects on competition
D)resource transfer effects

Question

Quizplus · Accepted Answer

Foreign direct investment can make a positive contribution to a host economy by supplying capital,technology,and management resources that would otherwise not be available and thus boost that country's economic growth rate.Foreign managers trained in the latest management techniques can often help to improve the efficiency of operations in the host country,whether those operations are acquired or greenfield developments,thus rendering benefits through a resource transfer effect.

Foreign Managers Trained in the Latest Management Techniques Can Often