Edzy
Single Answer MCQ
Q-00015687

What do multinational corporations (MNCs) aim for by spreading production across countries?

1

To reduce operational complexity

2

To optimize costs and efficiency

3

To avoid local regulations

4

To limit market access

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Sandeep Chaturvedi

Sandeep Chaturvedi

CBSE Social Science & Humanities Reviewer

Social science and humanities educator with 14+ years of experience reviewing CBSE SST, economics, commerce, arts, and vocational content.

M.A. HistoryM.A. Political ScienceB.Ed.

Answer and Solution

Answer

B. To optimize costs and efficiency

Solution:

MNCs aim to optimize costs and efficiency by locating parts of their production in regions that offer the best resources and labor costs, thereby increasing profit margins and enhancing competitiveness.

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