AI-generated practice question — model-generated for extra practice, not a previous-year CBSE board question.
(C) Buy up existing local companies and then expand production
Source: Interlinking Production Across Countries, Chapter 4
The textbook explicitly states: "the most common route for MNC investments is to buy up local companies and then to expand production." The Cargill Foods–Parakh Foods example illustrates this. Students must remember this exact phrasing, as "most common" distinguishes it from other routes like joint production or setting up new factories.