To Use Foreign Factors of Production, an MNC Should

question 55

Multiple Choice

To use foreign factors of production, an MNC should:

• A) establish a subsidiary in a new market that can sell products produced elsewhere.
• B) establish a subsidiary in a market that has relatively low costs of labor or land.
• C) establish a subsidiary in a market where raw materials are cheap and accessible.
• D) participate in a joint venture in order to learn about a production process or other operations.

---

Definitions:

Facial Hair

Hair that grows on the face, typically on areas such as the chin, cheeks, and upper lip, common in males after puberty.

Hirsutism

The growth of excessive or unwanted hair on a woman's body and face, typically following a male pattern of hair distribution.

Arterial Insufficiency

A condition resulting from the inadequate flow of blood through the arteries, often leading to tissue damage due to lack of oxygen and nutrients.

Venous Insufficiency

A condition where the veins have problems sending blood from the limbs back to the heart, often leading to swelling and varicose veins.