Question

Where do MNC's set up their production units? Explain.

Answer 1

Corporations which owns and controls production in more than one nation are called multinational corporations
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In general, MNCs set up production where it is close to the markets where there is skilled and unskilled labourj available at low costs and where the availability of other factors of production is assured. in addition, MNCs might look for government policies that look after theirs interest.

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12/05/2017
By

MANISHNAVIK1

Answer 2

Where do MNC's set up their production units? Explain.

In general, MNCs prefer to set up their production units at that location. Where skilled and unskilled labor is easily available to them, where they are close to the potential market, the country in which they have got permission to set up their units. A country in which the legal complexity of setting up an industry is less. MNCs prefer to set up their production units at such a place.

Explanation :

An MNC (Multi Nation Corporation) refers to a company that does not do business in any one country but does business in different countries.

A company that conducts business activities in more than one country is called a multinational company.

A multinational company also generates at least 25% of its total revenue outside its country of origin. A multinational company is spread its business in different countries of the world. It has offices and factories in different countries. Its units are according to the rules of that country.

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