Question

In determining why a firm becomes multinational there are many reasons. One reason is that the firm is a market seeker. Why of the following is NOT a reason why market-seeking firms produce in foreign countries?
A) satisfaction of local demand in the foreign country
B) satisfaction of local demand in the domestic markets
C) political safety and small likelihood of government expropriation of assets
D) All of the above are market-seeking activities.

Answer 1

Answer:

C) political safety and small likelihood of government expropriation of assets

Explanation:

Multinational corporations are corporations that operate in more than one country, usually its home country here the headquarters are located, and other foreign markets. that means that the multinational will have to serve at least two markets, the domestic market and the foreign country's market.