Question

Relative advantage and disadvantage of international investment

Answer 1

Answer:

• .Disadvantages for the company include an unstable and unpredictable foreign economy, unstable political systems, and underdeveloped legal systems.
• Advantages for the company investing in a foreign market include access to the market, access to resources, and reduction in the cost of production.

Answer 2

Answer:

Advantages for the company investing in a foreign market include access to the market, access to resources, and reduction in the cost of production. Disadvantages for the company include an unstable and unpredictable foreign economy, unstable political systems, and underdeveloped legal systems.