A multinational company (MNC) is a corporate organization that owns and controls production in more than one country.
Accordingly, which of following countries has the BEST potential for an MNC to be set up?
A. Country W has a rich culture and ample biodiversity.
B. Country X provides loans to foreign companies easily at high interest rates.
C. Country Y has an educated workforce ready to work for affordable remuneration.
D. Country Z has a rule which allows people from a specific religion to conduct business freely.
Answer:
So, the
correct answer
is
(C): Country Y has an educated workforce ready to work for affordable remuneration.
Explanation
Let’s check all the options
-
(A)Country W has a rich culture and ample biodiversity
- To set up a country does not need to examine the rich culture and biodiversity. So, this criteria is irrelevant.
Thus, this option is incorrect
-
(B)Country X provides loans to foreign companies easily at high interest rates
- Companies established their branches where they can afford reasonable loans. So, this criteria is irrelevant.
Thus, this option is incorrect
-
(C)Country Y has an educated workforce ready to work for affordable remuneration -
Countries need skilled and educated labour that can work for affordable remuneration so, they set up their branch where these facilities are available.
Thus, this option is correct
-
(D)Country Z has a rule which allows people from a specific religion to conduct business freely
- Countries do not operate where there is a rigid socio-cultural system.
Thus, this option is incorrect
