________ Is an Explanation of the Process by Which Firms

question 18

Multiple Choice

________ is an explanation of the process by which firms acquire and retain one or more value-chain activities inside the firm, minimizing the disadvantages of dealing with external partners and allowing for greater control over foreign operations.

• A) Internalization theory
• B) Monopolistic advantage theory
• C) Absolute advantage theory
• D) Dunning's eclectic paradigm

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Definitions:

12b-1 Fee

A fee that mutual funds may charge for marketing, distribution, and service expenses, expressed as a percentage of assets under management.

Net Asset Value

The value per share of a fund, calculated by dividing the total value of the fund's assets minus its liabilities by the number of shares outstanding.

Year-End Assets

These are the total value of all assets that a company or individual owns at the end of the fiscal year.

Liabilities

Financial obligations or debts owed by a business to creditors, which must be paid back at some point in the future.