British Airways Has an Arrangement with a State-Owned Airline Headquartered

question 98

Multiple Choice

British Airways has an arrangement with a state-owned airline headquartered in Brazil. British Airways provides the Brazilian airline with advice on reservation services and scheduling. Which entry mode for international business is used by British Airways?

• A) management contract
• B) turnkey project
• C) greenfield strategy
• D) licensing

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Definitions:

McCulloch v. Maryland

A landmark Supreme Court case in 1819 that established the principles of federal supremacy and implied powers of the federal government.

Supremacy Clause

A provision in the U.S. Constitution stating that federal law takes precedence over state law.

Commerce Clause

A provision in the U.S. Constitution that grants Congress the power to regulate trade between states, with foreign nations, and with Native American tribes.

Concurrent Power

Powers in nations with a federal system of government that are shared by both the federal government and each constituent political unit.