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Question

The characteristics feature of a multinational enterprise (MNE) include __________.

A
it owns its subsidiaries in other countries
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B
it may operate in another country
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C
these are established due to difference in the rate of return on capital between the two countries
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D
both (a) and (b)
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Solution

The correct option is D both (a) and (b)
A multinational company is one which has its main office in the home country and has many branches or subsidiaries in two or more country. Hence, the characteristic feature of a MNE include it owns its subsidiaries in other countries as well as it may operate in another country.

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