Question : Which of the following statement(s) is correct about MNCs Statements:?
1) An MNC is a company that owns or controls production in more than one nation. 2) They lead to the creation of a monopoly in the home country. 3) They are also called stateless organisations.
Option 1: Only statements 1 and 2
Option 2: Only statements 1 and 3
Option 3: Only statement 2
Option 4: Only statement 1
Correct Answer: Only statements 1 and 3
Solution : The correct option is Only statements 1 and 3 .
A multinational corporation (MNC) is indeed a company that owns or controls production in more than one nation. MNCs operate in multiple countries and may have subsidiaries, branches, or affiliates in different parts of the world.
Multinational corporations are entities that have a presence in and conduct business activities across different countries. While they may not be tied to a single national government, they are still subject to the laws and regulations of the countries in which they operate.
Thus, statements 1 and 3 are correct.
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