Edzy
Single Answer MCQ
Q-00015737

Which factor does NOT generally motivate foreign investment in a country?

1

Market potential

2

Labor costs

3

Political risk-minimization

4

Cultural familiarity

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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

D. Cultural familiarity

Solution:

While understanding culture may help in managing operations, it is not a primary motivator for foreign investment; market potential, labor costs, and minimizing political risks are more critical factors.

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