If we prepare a list that compiles the importance of foreign direct investments, it should contain the followings:

• In case of an economic turbulence in the receiving country, it is not easy for foreign direct investments to leave the country compared to portfolio investments.
• Receiving country (not the investing country) gets the possibility of investing over her domestic savings to sustain economic growth without increasing indebtedness.
• Foreign direct investments create new business lines in the receiving country.
• High technologies with direct investments promote the research and development activities in the receiving country so that she becomes a technology producing country instead of importing one.
• Advanced production technology improves the quality of labor force overtime and this will help to increase wage and to reduce other production costs.
• Foreign direct investments cause some important changes in the market structure of the receiving country through evolving competition culture. This will help to increase new types of products, to reduce product prices and, in the end, to increase consumer welfare overtime.

The correct answer is C.