MP Board · Class 11 · Business Studies · International BusinessWhat is the primary objective of establishing Export Processing Zones (EPZs)?
Step-by-Step Solution
Export Processing Zones (EPZs) are industrial estates specially established with the primary objective of promoting foreign exchange earnings by encouraging the production of goods exclusively meant for export, free from stringent customs duties and regulations.
Detailed Options Breakdown
Option : To promote domestic retail trade
Incorrect choice. This distractor represents a common misunderstanding of the core principles of International Business.
Option 1: To earn foreign exchange through exports (Correct Answer)
Correct choice. Refer to the step-by-step verified solution guidelines above for details.
Option 2: To restrict international trade
Incorrect choice. This distractor represents a common misunderstanding of the core principles of International Business.
Option 3: To encourage local monopoly
Incorrect choice. This distractor represents a common misunderstanding of the core principles of International Business.
💡 Study Guide: This question tests core syllabus concepts from International Business. For formulas, key summaries, and mock exam reference guides, read the full International Business Revision Notes.