Product Invention Consists of Creating Something New

question 132

Multiple Choice

Product invention consists of creating something new. Backward invention is reintroducing earlier product forms that are well adapted to a foreign country's needs. Forward invention is

• A) increasing the control over the development of new products.
• B) creating a new product to meet a need in another country.
• C) inventing something that yet has a "market".
• D) understanding the differences between host and foreign country markets.
• E) creating a new product to meet the need in the host country.

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Definitions:

Coupon Bond

A bond that offers interest payments through coupons to the bondholder, typically on a semiannual basis.

Yield To Maturity

The total return anticipated on a bond if the bond is held until its maturity date.

Market Price

The open market's rate for an asset or service at the current moment.

Coupon Rate

The interest rate on a bond or fixed-income security, representing the annual interest payment compared to its face value.