Question

Which of the following is an example of U.S. foreign direct investment?

a. A Swedish car manufacturer opens a plant in Tennessee.
b. A Dutch citizen buys shares of stock in a U.S. company.
c. A U.S. based restaurant chain opens new restaurants in IndiA.
d. A U.S. citizen buys stock in companies located in Japan.

Answer 1

c. A U.S. based restaurant chain opens new restaurants in IndiA.

Step-by-step explanation:

A foreign direct investment (FDI) is a type of investment made by a firm or individual in one country into business interests located in another country.

An example could be a rich US business man opening a tomato processing company in Gambia or a US company establishing a branch in another country different from USA.

This foreign direct investment is practiced engaged in by different country or business individuals.