SSC Economics Sample Paper NCERT Sample Paper-5

  • question_answer
    The advantages of foreign direct investment are
    1. Foreign investment reduces the disparity that exists between costs and revenues, especially when they are calculated in different currencies.
    2. From the foreign affiliate's point of view, FDI is beneficial because they get advanced resources and additional capital at their disposal. Which of the advantages given above is/are correct?

    A)  Only 1 

    B)  Only 2

    C)  Both 1 and 2    

    D)  neither 1 nor 2

    Correct Answer: C

    Solution :

    [c] Different international markets have different tastes, different preferences and different requirements. By investing in a company in such a country, on enterprise ensures that its business practices and products watch the needs of the market in that country specifically.

You need to login to perform this action.
You will be redirected in 3 sec spinner