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Is this a direct foreign​ investment?

a. A French company merges with an American​ company; stockholders in the U.S. company exchange their stock for shares in the French firm. No

b. The same Saudi businessman buys a New York apartment building. Yes

c. A Saudi businessman buys​ $10 million of IBM stock. No

d. An Italian firm builds a plant in Russia and manages the plant as a contractor to the Russian government.

User Riley Hun
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1 Answer

5 votes

Answer:

C

Step-by-step explanation:

A foreign direct investment is a form of controlling ownership/investment in a business in one country's by an entity based in another country. This is to show that since the Saudi business man is making an investment in the form of buying $10 Million stock from IBM it shows that he is expanding the operation of IBM in another country rather than his.

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