Which of the Following Is a Primary Cost of FDI

question 2

Multiple Choice

Which of the following is a primary cost of FDI to home countries? 

• A) Loss of sovereignty 
• B) Increase in local competition 
• C) Capital outflow and job loss 
• D) Increased exports of components and services to host countries

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Definitions:

Predetermined Point

A specific goal, target, or condition that is established in advance or before any actions are taken.

Competitive Advantage

A unique attribute or position that allows an organization to outperform its competitors.

Competitors

Entities that offer similar products or services in the same market and compete for the same customer base.

Supply Chain Management

Encompasses the processes and activities involved in producing and delivering a product or service from suppliers to customers, including sourcing, manufacturing, logistics, and customer service.