Suppose That There Are Significant Costs Associated with Coordinating a Subsidiary

question 43

Multiple Choice

Suppose that there are significant costs associated with coordinating a subsidiary with the parent organization and assessing the market potential of a foreign country.If there are also significant tariffs, in this case ________________is likely to be the lowest-cost method of supplying goods abroad.

• A) licensing
• B) subsidiary production
• C) direct exporting
• D) conglomerate integration

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Definitions:

Government Interference

The involvement or intervention of government in personal, business, or other affairs where it might not be wanted or considered beneficial.

Semiskilled Industrial Workers

Workers possessing a limited set of specific skills or minimal training, often employed in industrial settings.

Working Conditions

The environment, including physical and psychological aspects, in which employees operate.

Gilded Age

A period in late 19th-century America characterized by rapid economic growth, technological innovation, and ostentatious wealth, but also marked by social inequality and political corruption.