Which of the Following Is True About the Different Stages

question 71

Multiple Choice

Which of the following is true about the different stages of business development of a multinational corporation?

• A) In the second stage,companies operate in one country and sell into others.
• B) In the third stage,multinationals operate an entire line of business in another country.
• C) The third stage has evolved primarily due to the Internet and involves mostly high-tech companies.
• D) The top executives and core corporate functions of a multinational corporation operate in the same country.

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Definitions:

Locally Owned

Businesses that are owned, operated, and controlled within a local area or community.

Burger King

A global chain of fast food restaurants specializing in hamburgers, known for its signature Whopper burger.

Imperfect Competition

Imperfect competition is a market structure where the conditions necessary for perfect competition are not met, leading to price and output decisions that are influenced by individual firms.

Efficient Market Outcomes

Refers to a scenario where market prices fully reflect all available information, leading to an optimal allocation of resources.