- 2 Marks
AFM – May 2018 – L3 – Q1a – Economic environment for multinational organisations
Explaining strategic reasons for engaging in foreign direct investment (FDI).
Question
There are many strategic reasons for Multinational Enterprises to undertake foreign direct investment (FDI) to stimulate economic activity in the host country.
Required:
Explain TWO strategic reasons for engaging in FDI. (2 marks)
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