Explain the role of private multinational corporations (MNCs) in foreign direct investment in developing countries. In your answer: • Discuss two benefits that MNCs can have for developing countries.

Q: Use Dunning’s four foreign direct investment (FDI) motives to make plausible arguments about FDI…

A: Foreign direct investment (FDI) is a special case of international investment in which an investor…

Q: 1. Should international companies invest in countries with totalitarian regimes? Why?

A: Totalitarian regimes: It is a form of government which is not democratic and restricts the…

Q: discuss any four factors that foreign direct investment (FDI) consider when evaluating the political…

A: Foreign direct investment (FDI) : A foreign direct investment (FDI) can be described as  a financial…

Q: How is a country’s economic well-being enhanced through free international trade in goods and…

A: We can understand how a country’s economic well being is enhanced through free international trade…

Q: What is globalization? What modes of international business are used by firms that want to…

A: Note: As per our guidelines, we can only answer one question at once. Please post other questions…

Q: what risks and capital budgeting issues may arise with international investments and what strategies…

A: Capital budgeting techniques are used to evaluate project proposals, but in the case of…

Q: Describe the market for foreign investment.

A: Foreign investment is when a domestic investor decides to purchase ownership of an asset in a…

Q: What determines a country’s net international investment position

A: The Net International Investment Position is basically the quantity after casting off the outside…

Q: Allocating resources in the most efficient manner maximizes the wealth of any country. It is…

A: The financial reporting policy of a country shows the financial, political and legal institutions…

Q: International managers need to be aware of the implications of their investment decisions for both…

A: Investment is defined as the dedication of the company's asset for attaining the value over the time…

Q: he existence of more EXIM banks contribute to increased international trade within the Caribbean ?…

A: EXIM are banks which focus on the international trades and they help in import and export business…

Q: Should firms require higher rates of return on foreign projects than on identical projectslocated at…

A: The rate of return must be more in case of foreign projects comparing in to domestic projects.…

Q: countries across the globe have joined the race to attract foreign direct investment. examine the…

A: Foreign Direct investment is the flow of capital across countries. FDI is the direct investment of…

Q: discuss Pakistan’s current investment climate

A: Investment climate is referred to as an economic, socio-political, and also financial conditions of…

Q: or

A: Benefits of Acquisition and Mergers Diversification of Risk Tax benefits  Increased market share…

Q: According to the Oman Vision 2040, some of the major high technology companies will be established…

A: If the company, Present their financial performance in easy and understandable way. Bring…

Q: apart from setting up development finance institutions what are some of the interventions instituted…

A: Some of the interventions instituted by successive government and other global partners to improve…

Q: Explain the following terms, Automatic route and government route in foreign investment.

A: Foreign Direct Investment is permitted in a country either via an Automatic or a Government route.

Q: Question Which of the following would contribute to a positive trade balance for a country? Answer…

A: The balance of payment is referred to as the sum of a country’s total imports and exports of goods.…

Q: To minimize exposure to political risk, a multinational firm may establish a joint venture with a…

A: A political risk arises out of the instability of a foreign government and its policies. To assess…

Q: Explain the relative merits of fixed and floating exchange rate regimes. From the perspective of an…

A: An exchange rate regime seems to be the method through which a nation's or currency union's monetary…

Q: What is Dunning's OLI framework and how does it help us to understand foreign direct investment ?

A: A financial investment made by the individual or company from one nation into a company of another…

Q: Generally, is the cost of capital for investing in international countries more or less than…

A: The cost of capital is reflection of the required rate of investment for investors for investing in…

Q: Which of the following is not true concerning globalization and its consequences? O a Globalization…

A: Globalization is the interconnection among different economies, different cultures and different…

Q: Describe direct foreign investment process?

A: Step 1 A foreign direct investment (FDI) is a financial investment made by a company or individual…

Q: ue to globalization and liberalization, many global corporates or multi- national companies wish to…

A: Hedge is process and technique to reduce financial risk, exchange rate risk define as risk due to…

Q: The main function of the IMF is:     Act as a private-sector lending arm of the World Bank…

A: Financial markets are wide marketspaces that provide the medium of trading financial assets,…

Q: problems

A: INTRODUCTION Political risk is the risk an investment's returns could suffer as a result of…

Q: Should firms require higher rates of return on foreign projects than on identical projects located…

A: A rate of return (ROR) is the net gain or loss of an investment over a specific time period…

Q: Use the Mundell-Fleming model with perfect capital mobility, for each economy, analyze why the…

A: The Mundell-Fleming model is based on a very restrictive assumption. It considers a small open…

Q: Should firms require higher rates of return on foreign projects than on identical projects located…

A: A capital project’s financial rate of return (FRR) refers to its yield to the company on the capital…

Q: Why did European countries need to start investing in industries located in other countries?

A: Investment means engaging your funds to generate profit or income in for coming time. Investment can…

Q: How do development banks help to increase international trade?

A: The exchange of products, services, and capital across international restrictions or territories…

Regulation of Commercial Banks

The main function of any commercial bank is accepting deposits and lending money to borrowers. Apart from these two activities, commercial banks provide a host of other services to their customers, like discounting bills of exchange, acting as a custodian of a customer's will, and so on. In the absence of a proper regulatory framework or proper regulations in place, the commercial banks would have ended up charging exorbitant or varied rates of interest or service charges on the funds loaned by them or the services performed by them.