A Company That Has a Global Vision

question 123

Multiple Choice

A company that has a global vision:

• A)recognizes and reacts to international business opportunities
• B)is interested in nothing more complicated than exporting
• C)follows its competition into foreign markets
• D)has a very nationalistic view of the world
• E)does not see competition from foreign marketers as a threat

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Definitions:

Capital Stock

The total amount of physical, financial, and human capital available in an economy, used to produce goods and services.

Gross Investment

The total amount of investment spent on new fixed investment plus replacement investment, without accounting for depreciation.

Net Investment

The total amount invested in buying new capital and replacing depreciated capital within a specific period.

Potential Output

The highest level of real GDP that can be sustained over the long term without increasing inflation, reflecting the maximum productive capacity of an economy.