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Single Answer MCQ
Q-00015693

What is an effect of MNCs ordering production from small local producers?

1

Higher prices for consumers

2

Increased power for small producers

3

Standardization of quality and labor conditions

4

Reduction in competition among local firms

Reviewed & Verified by Edzy Expert

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. Standardization of quality and labor conditions

Solution:

MNCs can standardize quality and labor conditions since they specify the terms at which production occurs, thereby influencing overall industry standards.

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