Explain the Dilemma Central Management Faces Regarding Subsidiary Initiatives

question 39

Essay

Explain the dilemma central management faces regarding subsidiary initiatives.

---

Definitions:

Trade Surplus

A trade surplus occurs when a country exports more goods and services than it imports, indicating a positive balance of trade.

Goods

Tangible items that are produced or manufactured and can be bought, sold, or traded.

Services

Intangible products that are produced and consumed at the same time, offering value without transferring ownership.

Free Trade

International trade left to its natural course without tariffs, quotas, or other restrictions.