In General, the Costs Associated with Doing Business Abroad but Maintaining

question 73

Multiple Choice

In general, the costs associated with doing business abroad but maintaining product-related diversification are:

• A)​Greater than the costs of managing a conglomeration while mostly staying at home.
• B)​Less than the costs of managing a conglomeration while mostly staying at home.
• C) ​About the same as the costs of managing a conglomeration while mostly staying at home.
• D) ​Greater than the costs for all other combinations of geographic and product scope.

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Definitions:

Establishment Of Legitimacy

The process through which an entity gains acceptance, recognition, and justification within a system or community.

Management Practices

The actions, strategies, and methods employed by managers to lead their teams and achieve organizational objectives.

Ambidextrous Organization

Refers to organizations that are capable of exploiting existing assets and capabilities for short-term gains while simultaneously exploring new opportunities and innovations for long-term growth.

Exploiting

Utilizing resources or people in an unfair manner for one's own advantage or benefit.