Business Studies

What is the reason for MNC's Growth?
A. Reduce transport and distribution costs
B. Meet different rules and regulations.
C. Avoid trade barriers
Select the correct answer from the options given.


ANSWER

All of the above


SOLUTION
  • Location – MNCs have their headquarters in home countries and have their operational division spread across foreign countries to minimize the cost.
  • Capital Assets – Major portion of the capital assets of the parent company is owned by the citizens of the company’s home country.
  • Board of Directors – Majority of the members of the Board of Directors are citizens of the home country.
  • MNCs are large-sized corporation and exercise a great degree of economic dominance.
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Single Correct Medium Published on 18th 08, 2020
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