A Product-Diversified Firm in Kenya Has Been Approached by Several

question 58

Multiple Choice

A product-diversified firm in Kenya has been approached by several large U.S. firms looking for prospective partners. From the perspective of the Kenyan firm, the best partner would be

• A) an internationally-diversified U.S.-headquartered firm that is not product-diversified.
• B) a U.S. firm than is making its first venture into international diversification.
• C) a U.S. firm that is both internationally and product diversified.
• D) No U.S. firm will be a good partner for the Kenyan firm because of the cultural differences.

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Definitions:

Dishonest Franchisors

Franchisors who engage in fraudulent practices or misrepresentations towards their franchisees.

Prospective Franchisees

Individuals or entities considering and evaluating the opportunity to operate a branch of a franchise.

Anticompetitive Agreements

Contracts or collaborations between businesses that restrict competition in the marketplace, often considered illegal under antitrust laws.

Freedom of Contract

The principle that individuals have the liberty to create, define, and enforce agreements without undue government interference.