Ownership Restrictions and Performance Demands Are Used by ________

question 24

Multiple Choice

Ownership restrictions and performance demands are used by ________.

• A) host countries to promote FDI
• B) host countries to restrict FDI
• C) home countries to promote FDI
• D) home countries to restrict FDI

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Definitions:

Undercapitalization

A financial condition where a company lacks sufficient capital to support its operations effectively, often leading to financial difficulties.

Corporate Façade

Refers to an outward appearance maintained by a corporation to conceal its actual purposes or state, often used in a critical context to suggest a lack of transparency or authenticity.

Escape Liability

A legal strategy or circumstance that allows an individual or entity to avoid responsibility for an action or outcome.

Limited Liability

Status that specifies that an individual’s liability will not go beyond his or her original investment.