Why do MNCs set up offices and factories in more than one nation?

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The cost of production is high, and the MNCs can earn a profit.

cost of production is low, and the MNCs undergo a loss,

The cost of production is low, and the MNCs can earn a greater profit.

MNCs want to make their presence felt globally,

answer is C.

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Detailed Solution

MNCs set up offices and factories in more than one nation because the cost of production is low, and the MNCs can earn a greater profit.
Multinational corporations (MNCs) are businesses that own or manage output across multiple countries. MNCs typically locate their manufacturing facilities close to markets, where skilled and unskilled labour is inexpensively available and where the availability of other production inputs is guaranteed. MNCs may also search for government policies that protect their interests. MNCs erected factories and offices for production after ensuring these circumstances. Investments are sums of money used to purchase assets like real estate, buildings, machinery, and other equipment. Investment made by MNCs is called foreign investment. Any investment is made in the anticipation that the underlying assets will be profitable.

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