Please wait...
1800-212-7858 (Toll Free)
9:00am - 8:00pm IST all days
For Business Enquiry


Thanks, You will receive a call shortly.
Customer Support

You are very important to us

For any content/service related issues please contact on this toll free number


Mon to Sat - 11 AM to 8 PM

Explain how MNCs are spreading their production across countries.

Asked by Topperlearning User 5th June 2015, 10:05 AM
Answered by Expert

MNCs are spreading their production across countries in many ways. Large MNCs set up production units jointly with local companies in a country. Many a times, MNCs buy local companies and then start expanding their production activities. They provide advanced technology and managerial services to the enterprises established by them. Through these MNCs, technology has been transferred to developing countries. It has enabled them to produce quality goods and make them available in the international market. Thus, it paves the way to boost exports. Due to the flow of the MNCs capital in foreign currency, the availability of foreign exchange increases, which in turn enables the country to make payments for imports. Thus, MNCs are playing an important role by spreading their production across countries.

Answered by Expert 5th June 2015, 12:05 PM
Rate this answer
  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10

You have rated this answer /10

Your answer has been posted successfully!

Chat with us on WhatsApp