Japanese corporations located auto assembly plants in the US, to bypass VERs. The most certain method of preventing actual or potential competition is to acquire foreign businesses. They later became competitors. Cost reduction United Fruit has established banana-producing facilities in Honduras. Cheap foreign labor.
Labor costs tend to differ among nations.
MNCs can hold down costs by locating part of all their productive facilities abroad. International Joint Ventures JV is a business organization established by two or more companies that combines their skills and assets. A JV is formed by two businesses that conduct business in a third country. The finished goods are sold the US consumers. Problems Control is divided.