Question

Hutlot corp., a clothing company in the country of pretnola, bought a small clothing company named midlews in the country of limlouth. hutlot is going to sell its own designs through midlews, and it believes that this venture will be extremely successful. this scenario is an example of _____.

Answer 1

Direct foreign investment.

Direct foreign investment is a company in one country purchasing a controlling share of a company in another country.