A Firm Wants to Build a Subsidiary in the Middle

question 196

Multiple Choice

A firm wants to build a subsidiary in the Middle East. However, it is apprehensive because of protests in some Middle Eastern countries and the violence in Syria. It does not know if it should take the risk of expanding. Which type of barrier does this situation represent?

• A) economic
• B) competitive
• C) legal and regulatory
• D) political
• E) sociocultural

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Definitions:

Jim Crow Laws

Laws that enforced racial segregation and discrimination against African Americans, primarily in the Southern United States, from the late 19th century into the 20th century.

Southern Strategy

A political strategy that involved the Republican Party appealing to the racism against African Americans inherent in the southern United States to gain political support.

Black Americans

Refers to citizens or residents of the United States who have ancestry from black racial groups of Africa.

Moral Panics

Social phenomena where public fear and overreaction are provoked by media coverage, often about issues that are perceived to threaten societal norms and values.