Knowee
Questions
Features
Study Tools

Which of the following statements regarding FDI is NOT true?Question 4Select one:a.Flows of FDI have increased in the last 30 yearsb.It has traditionally been directed at developing nationsc.Greenfield investments are best for transferring specialised, hard-to-imitate resourcesd.More recently, there have been greater levels of north-south and south-south FDI

Question

Which of the following statements regarding FDI is NOT true?Question 4Select one:a.Flows of FDI have increased in the last 30 yearsb.It has traditionally been directed at developing nationsc.Greenfield investments are best for transferring specialised, hard-to-imitate resourcesd.More recently, there have been greater levels of north-south and south-south FDI

🧐 Not the exact question you are looking for?Go ask a question

Solution

The statement that is NOT true regarding FDI (Foreign Direct Investment) is:

b. It has traditionally been directed at developing nations

This statement is not true because traditionally, FDI has been directed at developed nations. It is only more recently that there has been an increase in FDI towards developing nations.

Similar Questions

Which of the following statements regarding FDI is NOT true? Select one: a. The liberalisation of the global economy has contributed to the growth of FDI b. Mergers and acquisitions tend to be more common in developed nations c. Exporting and licensing afford greater control than greenfield investments d. Mergers and acquisitions are generally quicker to execute than greenfield investments

Directions for questions 6 and 7: The following questions have a paragraph from which the last sentence has been deleted. From the given options, choose the one that completes the paragraph in the most appropriate way.We are increasingly told that the inflow of capital — particularly the foreign direct investment (FDI) variety — increases employment levels and contributes to economic growth. In a rare interview given to The Wall Street Journal in May, Prime Minister Narendra Modi reinforced the role of FDI for India: "To set a strong foundation for sustainable growth, we have run the most prudent macro-economic administration in decades, reducing fiscal and current account deficits. We have made India a destination which welcomes capital by liberalising foreign-direct investment policy, increasing the ease of doing business.” Recently, the government further relaxed the FDI policy. ______An FDI mania appears to have gripped our policymakers.However, there are no a priori reasons for favouring foreign investment over domestic investment under normal economic conditions.But foreign investment is an option in the short term.A probable positive consequence of foreign investment is the inflow of new technology and its subsequent diffusion.

FDIWhich of the following options is an example of foreign direct investment (FDI)?A Japanese company purchasing Indian government debtA German company buying stocks on the New York stock exchangeAn American fashion apparel company opening new stores across India A Chinese company exporting hardware to South Korea

Which of the following represents a common method for host countries to restrict inward FDI?Question 9Select one:a.Low interest ratesb.Ownership restraintsc.Subsidiesd.Tax incentives

Which one of the following scenarios is least likely a case of horizontal FDI?Group of answer choicesAn American car manufacturer acquiring production facilities in GermanyA Chinese tech company buying a research centre in GermanyA Chinese car manufacturer acquiring production facilities in VietnamAn American tech company buying a British computer chip designing firm

1/3

Upgrade your grade with Knowee

Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.