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12 July, 16:15

If an American-based firm opens and operates a new clothing factory in Honduras, then it is engaging in a. indirect foreign investment. b. foreign portfolio investment. c. foreign financial investment. d. foreign direct investment.

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  1. 12 July, 17:35
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    Answer: The correct answer is "d. foreign direct investment.".

    Explanation: It is engaging in foreign direct investment.

    In the business sphere, direct foreign investment is when long-term capital is allocated in another country for the opening and operation of companies in this case of clothing factory with the purpose of becoming international.
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