When a European Business Invests in a Location Outside Europe

question 10

Multiple Choice

When a European business invests in a location outside Europe, what type of foreign direct investment is it undertaking?

• A) intra-European foreign direct investment
• B) trade diverting investment
• C) extra-European foreign direct investment
• D) trade creating investment

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Definitions:

Deterritorialization

A complex concept often used in social sciences to describe the loss of the cultural, social, or geographical ties that define a place or a community.

Interrelated Flows

Processes or movements that are interconnected, influencing and interacting with each other in a system or network.

Hybridization

The process or act of combining or blending two different elements, such as cultures, technologies, or species, to produce something new or more effective.

Glocalization

A strategy that combines global approaches to local markets by adapting products or services to fit local cultures and preferences.