Which of the Following Is an Advantage Associated with Greenfield

question 117

Multiple Choice

Which of the following is an advantage associated with greenfield ventures?

• A) governmental support and subsidies in the host country
• B) the lower cost of this type of venture
• C) the level of control over the firm's technology, marketing and distribution
• D) the lower level of risks involved

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Definitions:

Unconsummated Transaction

A deal or negotiation that has been discussed or agreed upon in principle but has not been finalized or completed.

Sales Tax

a tax imposed on sales of goods and services, typically calculated as a percentage of the purchase price.

Buyer Surplus

The difference between the maximum amount a consumer is willing to pay for a good or service and the actual amount paid.

Seller Surplus

The difference between the amount sellers are actually paid for a good or service and the minimum amount they would be willing to accept, reflecting gains from trade.