If an International Firm Has a Global Strategy and a Relatively

question 66

Multiple Choice

If an international firm has a global strategy and a relatively low level of product diversity, the best choice for its organizational structure is

• A) worldwide functional.
• B) worldwide product division.
• C) worldwide matrix.
• D) international division.

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Definitions:

Net Sales

The total revenue from sales minus returns, allowances, and discounts.

Gross Profit

The financial gain obtained after subtracting the cost of goods sold from net sales revenues, indicating the efficiency of core business operations.

Beginning Inventory

The value of a company's inventory at the start of an accounting period, carried over from the end of the previous period.

Days In Inventory Ratio

A financial metric indicating the average number of days a company holds inventory before selling it, calculated as inventory divided by cost of goods sold, then multiplied by 365 days.