Which of the following ways can a multinational enterprise (MNE) adopt to reduce its exposure to political risks in its host country?
A. By negotiating with the host country's government to clear off its debts
B. By establishing more than one affiliate in the host country
C. By threatening to cease all exports of its products to the host country
D. By equating its physical assets in the host country with its local borrowings
Answer: D
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