Which of the Following Is Not True of NAFTA

question 35

Multiple Choice

Which of the following is not true of NAFTA?

• A) The NAFTA effectively merged Canada, Mexico, and the United States into one market.
• B) The NAFTA restricts trade by requiring equal treatment of U.S. firms in Brazil and Canada.
• C) It will provide additional opportunities for the United States in long-term affiliations with other countries in the Western hemisphere.
• D) It is controversial.
• E) Many U.S. businesses who engage in outsourcing are looking toward Mexico as a less costly alternative than China.

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Definitions:

Flattening Hierarchy

The process of reducing levels in an organization's structure to decrease distance between managers and employees and promote quicker decision-making.

Span of Control

Describes the number of subordinates that a manager or supervisor can effectively oversee, directly affecting management layers and organizational structure.

Matrix Departmentalization

An organizational structure that combines two or more types of departmentalization, often functional and product, to leverage the benefits of both.

Decentralization

The distribution of decision-making governance closer to the level of individual parts or locations within an organization, rather than concentrated at a central point of authority.