Question

Investments made by MNCs are termed as ______

Options

• Indigenous investment

• Foreign investment

• Entrepreneur's investment

• None of the above

Answer 1

Investments made by MNCs are termed Foreign investments.

Explanation:

MNCs' investments are referred to as a foreign investments. Multinational Corporations (MNCs) invest in other countries in order to increase their profit margins. It is possible that MNCs do not make a lot of money in their home countries. In such cases, MNCs may make investments in foreign countries where demand is high or production costs are low.