Which of the Following Explains How Firms Can Use FDI

question 52

Multiple Choice

Which of the following explains how firms can use FDI to gain and sustain competitive advantage?

• A) monopolistic advantage theory
• B) new trade theory
• C) Leontief paradox
• D) factor proportions theory

---

Definitions:

Reasoning

The process of thinking about something in a logical, sensible way to form a conclusion or judgment.

Nontraditional Students

Individuals who pursue tertiary education but do not follow the traditional college path of entering immediately after high school, often older and possibly balancing education with other responsibilities.

Support

Assistance or encouragement provided to someone, often in times of difficulty, aiming to help them cope and thrive.

Economic Development

The process by which a region, country, or community improves the economic, political, and social well-being of its people.