Asked by victoria tsangaris on Jul 21, 2024

verifed

Verified

An increasingly popular form of direct foreign investment is

A) currency exchange.
B) export cooperatives.
C) cross-border mergers.
D) nationalizations.
E) joint projects.

Cross-Border Mergers

Transactions where companies from different countries combine their operations or assets, often to expand market reach or consolidate industry positions.

Direct Foreign Investment

A financial commitment by an individual or company from one country into business ventures or assets in another country, whether by setting up business activities or purchasing business assets.

Export Cooperatives

Organizations formed by producers with the aim of marketing and selling their products in foreign markets collectively.

  • Identify and differentiate between types of direct foreign investment and their implications for global business.
verifed

Verified Answer

AS
Antea SinanajJul 24, 2024
Final Answer :
C
Explanation :
Cross-border mergers involve a company from one country acquiring or merging with a company from another country. This form of direct foreign investment has become increasingly popular in recent years as companies seek to expand their global reach and access new markets. It allows for a faster entry into the foreign market as well as access to local knowledge and resources.