Which of the Following Is Not a Primary Factor That

question 21

Multiple Choice

Which of the following is not a primary factor that motivates companies to expand internationally?

• A) Cheaper production factors
• B) Smaller number of distribution channels
• C) Economies of scale
• D) Economies of scope.

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Definitions:

Securities Transactions

The process of buying, selling, or trading securities, such as stocks and bonds, usually through the financial markets.

Insider Trading

The illegal buying or selling of a corporation’s stock or other securities by corporate insiders, such as officers and directors, in breach of a fiduciary duty or some other relationship of trust and confidence, while in possession of material, nonpublic information about the security.

Material Inside Information

Refers to non-public, important information about a company that could influence an investor's decision to buy or sell the company's securities.

Corporate Disclosure Requirements

Regulations mandating that corporations publicly disclose certain financial and business information to maintain transparency with shareholders and the public.