In foreign direct investment, 100 percent ownership of a company does not guarantee its complete control.

Question

Quizplus · Accepted Answer

Even if a company has 100 percent ownership of a subsidiary in a foreign country, there may still be government regulations, cultural differences, and other factors that limit their control over the operations of the subsidiary. Additionally, local partners or employees may have significant influence or decision-making power within the subsidiary.

In Foreign Direct Investment, 100 Percent Ownership of a Company