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Q.

MNCs control production in various countries by


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a

Setting up production units

b

Shifting factories from one country to another

c

Buying local companies

d

both 1 & 2 

answer is D.

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Detailed Solution

MNCs control production in various countries by setting up production units and shifting factories from one country to another. MNCs establish factories and workplaces for manufacturing. At certain times, MNCs set up production collectively with several local companies in these countries. But the standard path for MNC investments is to buy up local companies and expand manufacturing. MNCs with massive wealth can pretty effortlessly accomplish that. Huge MNCs in developed international locations place orders for manufacturing with small manufacturers. Clothes, shoes, sports activities and other such objects are examples of industries wherein manufacturing is carried out with the aid of a massive quantity of small producers worldwide. These products are then provided to the MNCs, selling them under their brand names to the consumers.
 

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