Choose the given statement is true/false:

Foreign investment means MNCs invest their capital in assets in their own country to profit from it.

see full answer

Your Exam Success, Personally Taken Care Of

1:1 expert mentors customize learning to your strength and weaknesses – so you score higher in school , IIT JEE and NEET entrance exams.

An Intiative by Sri Chaitanya

True

False

answer is B.

(Unlock A.I Detailed Solution for FREE)

Best Courses for You

JEE

NEET

Foundation JEE

Foundation NEET

CBSE

Detailed Solution

The above statement is false.
Foreign investment is when a company invests money in a different country. Companies frequently invest in other countries because there is less competition in various industries. For example, if you own a restaurant, you might not want to compete against McDonald's. So instead, you could buy a franchise in a different city and sell your food there. Another reason why companies may invest abroad is that they want to expand their market share.
Thus the correct statement would be Foreign investment means MNCs invest their capital in assets in their own country to profit from it.

Watch 3-min video & get full concept clarity