Lower Costs in the Form of Cheaper Labor or Raw

question 160

Multiple Choice

Lower costs in the form of cheaper labor or raw materials, foreign government investment incentives, freight savings, and the opportunity to improve the company image are the factors that would most likely lead a company to enter a foreign market using the market entry strategy of ________.

• A) direct exporting
• B) licensing
• C) management contracting
• D) indirect exporting
• E) direct investment

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Definitions:

Satisfactoriness

The condition or quality of meeting expectations or requirements; adequacy in performance or outcome.

Correspondence

The agreement or similarity between two things, or the process of matching, communicating, or equating them.

Organization

The arrangement or coordination of activities and tasks to achieve a specific purpose or result, often within an entity or among individuals.

TWA

Theory of Work Adjustment, which posits that job satisfaction and performance depend on the correspondence between individual needs and the attributes of the job environment.