Business, 24.04.2020 22:37 avablender

The eclectic theory of FDI is .
O useful in explaining how the location-specific advantage is responsible for deciding the direction of FDI.
O It adds on to the theory of internalization by adding the factor endowments of the location to basic assets of the investing firm.
O This theory does not seem to have any short-comings since it even explains the effect of secondary factors related to location which have been termed as externalities.
O This theory is very useful in management practice since it clearly helps one to develop a sound rationale for investment in any country.
O It evaluates the various factors related to the location, both favorable and unfavorable along with the strength of the firm's assets related to technology, capital and management skills to arrive at a final rationrale and direction.
O All of the above
O None of the above

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The eclectic theory of FDI is .
O useful in explaining how the location-specific advantage is...

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