According to which of the following theories of International Business, the pattern of FDI is…
John Dunning's Eclectic Theory (the OLI Paradigm) posits that the pattern, extent, and form of Foreign Direct Investment (FDI) are determined by the interplay of three…
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According to which of the following theories of International Business, the pattern of FDI is determined by combination of Core Competency, locational advantage and entry mode ?
Answer and explanation
Correct answer D
John Dunning's Eclectic Theory (the OLI Paradigm) posits that the pattern, extent, and form of Foreign Direct Investment (FDI) are determined by the interplay of three factors: Ownership/Core Competency advantages (O), Location-specific advantages (L), and Internalization/Entry-mode advantages (I).
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