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Commerce · Q112

Business Environment and International Business

Graduate and Post Graduate · Commerce · question 112

Q112

Which of the following statements is not correct relating to comparison of FDI with trade?

A.
Only one market can better be served with differentiated products
Answer
B.
FDI overcomes tariff and transport cost involved in trade
C.
FDI reduces financial risk through greater diversification
D.
FDI creates harmonious political relations

Answer: Option A

Solution

Answer: Option A
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