A Vertical FDI Refers to a Type of FDI in Which

question 66

Multiple Choice

A vertical FDI refers to a type of FDI in which _____.

• A) a firm duplicates its home country-based activities at the same value chain stage in a host country 
• B) a firm invests in a portfolio of foreign securities but without active management of those foreign assets 
• C) a firm moves upstream or downstream at different value chain stages in a host country 
• D) a firm produces the same products or services in a host nation as it does at home

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Definitions:

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