The most common route for investment by MNCs in countries around the world is to:
The most common route for investment by MNCs in countries around the world is to:
A
set up new factories.
B
buy existing local companies.
C
form partnership with local companies.
D
none
Text Solution
Verified by Experts
The correct Answer is:
B
|
Similar Questions
Explore conceptually related problems
What is the most common route for investments by MNCs in countries around the world?
Watch solution
Read the source given below and answer the questions that follows: Having assured themselves of these conditions, MNCs set up factories and offices for production The money that is spent to buy assets such as land, building, machines and other equipment is called investment. Investment made by MNCs is called foreign investment. Any investment is made with the hope that these assets will earn profits. At times, MNCs set up production jointly with some of the local companies of these countries. The benefit to the local company of such joint production is two-fold. First, MNCs can provide money for additional investments, like buying new machines for faster production. Second, MNCs might bring with them the latest technology for production. But the most common route for MNC investments is to buy up local companies and then to expand production. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. What does large MNC do in developed countries?
Watch solution
Knowledge Check
The most common route for investments by MNCs in countries around the world is to
The most common route for investments by MNCs in countries around the world is to
A
set up new factories.
B
buy existing local companies.
C
form partnerships with local companies.
D
none of the above
Submit
The most common route for investments by MNCs in countries around the world is to
The most common route for investments by MNCs in countries around the world is to
A
set up new factorie
B
buy existing local companies
C
form partnerships with local companies
D
None of these
Submit
Read the source given below and answer the questions that follows: Having assured themselves of these conditions, MNCs set up factories and offices for production The money that is spent to buy assets such as land, building, machines and other equipment is called investment. Investment made by MNCs is called foreign investment. Any investment is made with the hope that these assets will earn profits. At times, MNCs set up production jointly with some of the local companies of these countries. The benefit to the local company of such joint production is two-fold. First, MNCs can provide money for additional investments, like buying new machines for faster production. Second, MNCs might bring with them the latest technology for production. But the most common route for MNC investments is to buy up local companies and then to expand production. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. What is the most common rout of MNC investment?
Read the source given below and answer the questions that follows: Having assured themselves of these conditions, MNCs set up factories and offices for production The money that is spent to buy assets such as land, building, machines and other equipment is called investment. Investment made by MNCs is called foreign investment. Any investment is made with the hope that these assets will earn profits. At times, MNCs set up production jointly with some of the local companies of these countries. The benefit to the local company of such joint production is two-fold. First, MNCs can provide money for additional investments, like buying new machines for faster production. Second, MNCs might bring with them the latest technology for production. But the most common route for MNC investments is to buy up local companies and then to expand production. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. What is the most common rout of MNC investment?
A
they buy the workers
B
they provide the cost of manufacturing
C
they buy local companies
D
they bribe governments
Submit
Similar Questions
Explore conceptually related problems
Read the source given below and answer the questions that follows: Having assured themselves of these conditions, MNCs set up factories and offices for production The money that is spent to buy assets such as land, building, machines and other equipment is called investment. Investment made by MNCs is called foreign investment. Any investment is made with the hope that these assets will earn profits. At times, MNCs set up production jointly with some of the local companies of these countries. The benefit to the local company of such joint production is two-fold. First, MNCs can provide money for additional investments, like buying new machines for faster production. Second, MNCs might bring with them the latest technology for production. But the most common route for MNC investments is to buy up local companies and then to expand production. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. Investment made by MNCs is called _______
Watch solution
Read the source given below and answer the questions that follows: Having assured themselves of these conditions, MNCs set up factories and offices for production The money that is spent to buy assets such as land, building, machines and other equipment is called investment. Investment made by MNCs is called foreign investment. Any investment is made with the hope that these assets will earn profits. At times, MNCs set up production jointly with some of the local companies of these countries. The benefit to the local company of such joint production is two-fold. First, MNCs can provide money for additional investments, like buying new machines for faster production. Second, MNCs might bring with them the latest technology for production. But the most common route for MNC investments is to buy up local companies and then to expand production. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. How MNCs can be beneficial for local companies?
Watch solution
Read the source given below and answer the questions that follows: India has become a second home to many multinationals' over the years. MNCs set up offices and factories for production in regions where they can get cheap labour and other resources. This is done so that the cost of production is low and the MNCs can earn greater profits. MNCs set up production where it is close to the markets, where there is skilled and unskilled labour available at low costs, and where the availability of other factors of production is assured. But the most common route for MNC investments is to buy up local companies and then to expand production. MNCs with huge wealth can quite easily do so. To take an example, Cargill Foods, a very large American MNC, has bought over smaller Indian companies such as Parakh Foods. Parakh Foods had built a large marketing network in various parts of India, where its brand was well-reputed. Also, Parakh Foods had four oil refineries, whose control has now shifted to Cargill, Cargill is now the largest producer of edible oil in India, with a capacity to make 5 million pouches daily. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. Ford Motors, an American company, is one of the world's largest automobile manufacturers with production spread over 26 countries of the world. Ford Motors came to India in 1995 and spent Rs. 1700 crore to set up a large plant near Chennai. This was done in collaboration with Mahindra and Mahindra, a major Indian manufacturer of jeeps and trucks. Answer the following MCQs by choosing the most appropriate option Investment made by MNCs is called
Watch solution
Read the source given below and answer the questions that follows: India has become a second home to many multinationals' over the years. MNCs set up offices and factories for production in regions where they can get cheap labour and other resources. This is done so that the cost of production is low and the MNCs can earn greater profits. MNCs set up production where it is close to the markets, where there is skilled and unskilled labour available at low costs, and where the availability of other factors of production is assured. But the most common route for MNC investments is to buy up local companies and then to expand production. MNCs with huge wealth can quite easily do so. To take an example, Cargill Foods, a very large American MNC, has bought over smaller Indian companies such as Parakh Foods. Parakh Foods had built a large marketing network in various parts of India, where its brand was well-reputed. Also, Parakh Foods had four oil refineries, whose control has now shifted to Cargill, Cargill is now the largest producer of edible oil in India, with a capacity to make 5 million pouches daily. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. Ford Motors, an American company, is one of the world's largest automobile manufacturers with production spread over 26 countries of the world. Ford Motors came to India in 1995 and spent Rs. 1700 crore to set up a large plant near Chennai. This was done in collaboration with Mahindra and Mahindra, a major Indian manufacturer of jeeps and trucks. Answer the following MCQs by choosing the most appropriate option In which regions MNCs set up offices and factories for production?
Watch solution
Read the source given below and answer the questions that follows: India has become a second home to many multinationals' over the years. MNCs set up offices and factories for production in regions where they can get cheap labour and other resources. This is done so that the cost of production is low and the MNCs can earn greater profits. MNCs set up production where it is close to the markets, where there is skilled and unskilled labour available at low costs, and where the availability of other factors of production is assured. But the most common route for MNC investments is to buy up local companies and then to expand production. MNCs with huge wealth can quite easily do so. To take an example, Cargill Foods, a very large American MNC, has bought over smaller Indian companies such as Parakh Foods. Parakh Foods had built a large marketing network in various parts of India, where its brand was well-reputed. Also, Parakh Foods had four oil refineries, whose control has now shifted to Cargill, Cargill is now the largest producer of edible oil in India, with a capacity to make 5 million pouches daily. Large MNCs in developed countries place orders for production with small producers. Garments, footwear, sports items are examples of industries where production is carried out by a large number of small producers around the world. The products are supplied to the MNCs, which then sell these under their own brand names to the customers. These large MNCs have tremendous power to determine price, quality, delivery, and labour conditions for these distant producers. Ford Motors, an American company, is one of the world's largest automobile manufacturers with production spread over 26 countries of the world. Ford Motors came to India in 1995 and spent Rs. 1700 crore to set up a large plant near Chennai. This was done in collaboration with Mahindra and Mahindra, a major Indian manufacturer of jeeps and trucks. Answer the following MCQs by choosing the most appropriate option MNCs do not increase
Watch solution
Recommended Questions
- The most common route for investment by MNCs in countries around the w...
Text Solution
|
Playing Now - वायुमंडल में सर्वाधिक पायी जाने वाली गैस है -
01:48
|
Play - धारावाही चालक के चारों ओर उत्पन्न क्षेत्र होता है-
02:38
|
Play - हाइड्रोजन परमाणु में इलेक्ट्रॉन नाभिक के चारों ओर प्रति 6.0 xx 10 ^(1...
01:50
|
Play - समस्याओ में रेखिक समीकरण युग्म बनाइए और उनके हल प्रतिस्थापन विधि द्...
03:27
|
Play - ठोस AX में A^(+) आयन के चारो और X^(-) आयन की व्यवस्था है, जैसा की चित्...
03:17
|
Play - सर्वसमिका को परिभाषित कीजिए।
00:49
|
Play - निम्नलिखित में से कौन-सा हैलाइड सबसे वाष्पशील है-
Text Solution
|
Play - निम्नलिखित में से सबसे प्रबल अम्ल होता है-
01:42
|
Play