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Single Answer MCQ
Q-00045511

What is a significant benefit of spreading production across countries for MNCs?

1

Improved product quality

2

Centralized production control

3

Cost savings through localization of production

4

Elimination of local competition

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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

C. Cost savings through localization of production

Solution:

By spreading production, MNCs can significantly reduce production costs through localization, taking advantage of resources and labor market conditions in different countries.

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