Which of the following factors do multinational companies MOST often look for in a country when they are considering a location for offshore manufacturing?

A) a diverse culture
B) strict government regulations
C) low production costs
D) low cost of living
E) unstable political climate

C
Explanation: C) Developing countries tend to have less expensive labor than a country like the United States, allowing goods to be produced more cheaply. Companies interested in operating overseas would not favor countries with strict government regulations that might make doing business more difficult. Other factors, such as a diverse culture and low cost of living, may be true of developing countries, but lower production costs are the ultimate reason why many multinational companies send work overseas. An unstable political climate is actually a risk of globalization activities such as offshore manufacturing.

Business

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