Question

Which of the following is an advantage corporations have gained by going global? A. They can now build in low-temperature locations. B. They have to pay tariffs to import taxes to industrialized nations. C. They can now hire women. D. They can avoid taxes by moving the company location

Answer 1

The correct option is "D" (They can avoid taxes by moving the company location). And many large corporations are using this advantage to maximize their profit. For example if US has a higher tax compare to India/China, most likely most of the corporations will move to India/China. So that they can pay less tax thus maximize their profit.