An example of 'foreign direct investment' is:
A) Holden building a factory in India.
B) A British investor buying shares in an Australian firm.
C) An Australian investor buying a Canadian bond.
D) A British bank buying an Australian government bond.

Question

Quizplus · Accepted Answer

Foreign direct investment refers to the establishment of a business or acquisition of controlling ownership in a company in a foreign country. Holden building a factory in India falls under this category as they are establishing a business in another country. The other options do not represent foreign direct investment.

An Example of 'Foreign Direct Investment' Is