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A country with a significant fraction of domestic production occurring in foreign-owned factories is likely a host to multinational corporations seeking lower production costs, access to local markets, or favorable trade conditions. This often occurs in developing or emerging economies where labor is cheaper, and regulatory environments may be more flexible. Such countries may also benefit from foreign direct investment, which can spur economic growth and job creation, although it may also lead to concerns about local control over resources and industries.

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1w ago

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