MNCs face _________________ and _____________________ that can make their cash flows vulnerable that are not faced by domestic firms.

Question

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MNCs face country risk, which refers to the political and/or economic risks associated with investing in a foreign country. This can include changes in regulations, political instability, and economic downturns. MNCs also face currency risk, which refers to the risk of currency fluctuations affecting their cash flows and profits. Domestic firms may also face these risks, but they are generally more pronounced for MNCs due to their international operations. The other options listed are risks that both MNCs and domestic firms may face, but they are not unique to MNCs.

MNCs Face _________________ and _____________________ That Can Make Their Cash

MNCs Face _ and _____ That Can Make Their Cash