In the Context of International Business,market Failure Is Most Likely

question 49

Multiple Choice

In the context of international business,market failure is most likely to result due to:

• A) foreign direct investment.
• B) opportunistic behavior of firms.
• C) low transaction costs.
• D) ownership equity.

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Definitions:

Anonymity

The state of being anonymous, where a person's identity is not known or is deliberately concealed.

High Personal Involvement

A state or condition where individuals are deeply engaged with a task or issue, often because it is important to their personal values or goals.

Indispensability

The quality of being absolutely necessary or essential within a particular context or system.

Truth-Wins Rule

A consensus-reaching technique wherein a group adopts the correct or most accurate answer once a sufficient number of members recognize its validity.