When It Comes to FDI, JogRight Corp

question 23

Multiple Choice

When it comes to FDI, JogRight Corp. makes greenfield investments in various foreign countries and fully manages all foreign operations on its own. This approach to FDI is risky because of the problems associated with

• A) sharing a valuable technological know-how with a potential competitor.
• B) an increase in transportation costs, especially for those products that have a low value-to-weight ratio.
• C) doing business in a different culture where the rules of the game may be very different.
• D) the possibility of an increase in trade barriers such as import tariffs or quotas.
• E) increased production costs.

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Definitions:

Two-Way Symmetrical Communication

A model in public relations emphasizing mutual understanding and dialogue between an organization and its publics, rather than one-way persuasion.

Quantitative Research

A research method that involves the collection and analysis of numerical data to draw conclusions and identify patterns or trends.

Projected Population

An estimate of future population size based on current data and trends, used for planning and policy-making purposes.

Uses and Gratification Theory

A communication theory that suggests people actively seek out media that fulfills their specific needs, such as entertainment, information, or social interaction.