The purchase or building by a corporation of a facility in a foreign country is called
A)foreign direct investment.
B)foreign portfolio investment.
C)foreign capital depreciation.
D)globally-directed investment.

Question

Quizplus · Accepted Answer

Foreign direct investment refers to the purchase or construction of a facility in a foreign country by a corporation. This can include the establishment of production facilities, offices, or retail locations. Foreign portfolio investment, on the other hand, refers to investment in foreign assets such as stocks, bonds, or mutual funds, while foreign capital depreciation and globally-directed investment are not commonly used terms in this context.

The Purchase or Building by a Corporation of a Facility