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Question

Which of the following factors help MNCs control foreign trade significantly?

A
Size of an MNC
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B
Country of origin
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C
Huge investment capability
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D
Restricted market
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Solution

The correct option is C Huge investment capability
MNCs hold the capability to mobilise a huge amount of capital in terms of investment. Generally, their operation is larger than many other companies. Due to these reasons, MNCs control a significant part of the foreign trade across the world.

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