The Quickest Way to Enter a Foreign Market Using Foreign

question 39

Multiple Choice

The quickest way to enter a foreign market using foreign direct investment is

• A) a greenfield venture.
• B) a strategic alliance.
• C) a joint venture.
• D) an acquisition.

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Definitions:

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return, used in assessing investment opportunities.

Compounded Annually

Describes how interest on an investment or loan is calculated once a year, with each year's interest based on the principal plus any previously earned interest.

Return

The gain or loss on an investment over a specified period, expressed as a percentage increase over the original investment cost.

Invest

Allocating resources, usually financial, with the expectation of generating an income or profit.