QuestionDecember 16, 2025

Conglomerate investments usually are rated as low risk because foreign governments see them as providing fewer benefits to a multinational company and greater benefits to the country than other investments. True False

Conglomerate investments usually are rated as low risk because foreign governments see them as providing fewer benefits to a multinational company and greater benefits to the country than other investments. True False
Conglomerate investments usually are rated as low risk because foreign governments see them as providing fewer benefits to a multinational company and greater benefits to the country than other investments. True False

Solution
4.3(295 votes)

Answer

False Explanation 1. Assess the statement's accuracy Conglomerate investments diversify across industries, often seen as less risky due to diversification. However, the statement claims they are rated low risk because foreign governments see them as providing fewer benefits to the multinational and more to the country. 2. Compare with standard reasoning In reality, conglomerate investments are often viewed as higher risk by host countries because they may not align with national priorities or provide significant local benefits.

Explanation

1. Assess the statement's accuracy<br /> Conglomerate investments diversify across industries, often seen as less risky due to diversification. However, the statement claims they are rated low risk because foreign governments see them as providing fewer benefits to the multinational and more to the country.<br />2. Compare with standard reasoning<br /> In reality, conglomerate investments are often viewed as higher risk by host countries because they may not align with national priorities or provide significant local benefits.
Click to rate:

Similar Questions