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Multinational businesses
Practice Questions

20 CIE IGCSE Business Studies questions on Multinational businesses, each with instant feedback and a full examiner-style mark scheme.

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✨ Revision guide includes key terms, worked examples and exam technique for Multinational businesses.

Try 2 sample questions on Multinational businesses

Question 1 · 1 mark · Difficulty 1/3

Which of the following best defines a multinational business?

  1. A business that imports raw materials from abroad
  2. A business that operates in more than one country
  3. A business that trades on a foreign stock exchange
  4. A business that exports goods to more than one country
Show answer & explanation
✓ Answer: B — A business that operates in more than one country
A multinational business is defined as one that has operations (such as production or offices) in more than one country. Exporting alone does not make a business multinational. Importing raw materials is a trade activity, not an operational presence abroad. Trading on a foreign stock exchange relates to finance, not operational structure.
Question 2 · 1 mark · Difficulty 2/3

A multinational business sets up a factory in a developing country. Which of the following is most likely to be a benefit to that host country?

  1. A reduction in the host country's tax revenue
  2. A fall in the host country's exports of finished goods
  3. An increase in unemployment in the host country
  4. An inflow of foreign direct investment into the host country
Show answer & explanation
✓ Answer: D — An inflow of foreign direct investment into the host country
Foreign direct investment (FDI) brought by a multinational business provides capital for the host country, stimulating economic growth. Tax revenue is more likely to increase, not decrease, as the business pays local taxes. Employment typically rises when a new factory opens. The host country's exports may actually increase if the factory produces goods for sale abroad.
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20 questions · 25 min · free

CIE IGCSE Business Studies: Multinational businesses FAQ

How many CIE IGCSE Business Studies questions on Multinational businesses are there on Kramizo?
Kramizo currently has 20 exam-board-aligned practice questions on Multinational businesses for CIE IGCSE Business Studies, with new questions added every week. Each question gives you instant feedback and a full examiner-style mark scheme that tells you exactly what would earn marks on a real CIE paper. The questions span the full difficulty range — from straightforward recall (level 1) right up to multi-step reasoning and evaluation (level 3) — so the bank works for first-pass revision and final exam-week stress testing alike.
Is Kramizo free for CIE IGCSE students preparing for Business Studies?
Yes — completely free. Every student gets 45 questions a day on the free plan, with no card required and no trial countdown. That free quota works across every subject and every topic in our bank, so you can mix Multinational businesses practice with other Business Studies topics or even switch to a totally different CIE subject without paying anything. Kramizo's optional Pro plan removes the daily cap and adds detailed progress analytics, but the free tier is the real product — used by thousands of GCSE, IGCSE and CSEC students.
Are the Multinational businesses questions aligned to the official CIE IGCSE Business Studies syllabus?
Every question is written against the published CIE IGCSE Business Studies specification, including the exact command words (state, describe, explain, calculate, evaluate, etc.), mark allocations, and difficulty tier you'd see on a real CIE paper. Explanations are written in the style of official examiner mark schemes — they tell you what is being awarded marks and why distractors are wrong, not just whether you got it right. The bank is continually refined to match the latest syllabus updates from CIE.
How is Multinational businesses typically tested on CIE IGCSE Business Studies papers?
Multinational businesses appears across multiple question types on real CIE IGCSE Business Studies papers — most commonly as multiple-choice questions in the objective section, structured short-answer questions in the main paper, and occasionally as part of an extended response. Kramizo's practice bank reflects that mix: 4-option MCQs, true/false statements, fill-in-the-blank key terms, multi-select questions, and ordering questions. Working through the bank gives you exposure to every question style examiners actually use.

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