Question

Which is not likely to be a benefit that host countries will obtain for MNCs?

• A. Technology Transfer
• B. Import substitution
• C. Tax revenues
• D. Job creation

Answer 1

The correct option is C Tax revenues

The potential benefits of MNCs on host countries include:

Provision of significant employment and training to the labour force in the host country. MNCs add to the host country GDP through their spending, for example with local suppliers and through capital investment.