A Form of Foreign Direct Investment, Where a Domestic Company

question 180

Multiple Choice

A form of foreign direct investment, where a domestic company purchases a company in a foreign country to produce a similar product or service, is a

• A) licensor.
• B) joint venture.
• C) foreign subsidiary.
• D) host company.

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Definitions:

Rescission

The act of canceling or invalidating a contract, returning all parties to their state prior to the contract.

Award

A formal acknowledgment, often involving a monetary gift, given in recognition of an achievement or as a decision in arbitration and legal matters.

Fraudulent Misrepresentation

A false statement made knowingly, without belief in its truth, or recklessly, causing another to enter into a contract.

Rescission

The revocation, cancellation, or repeal of a contract, returning the parties to the positions they occupied before the contract was made.