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A Major Reason Why Growth-Oriented MNEs Establish Operations Abroad Is

question 23

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A major reason why growth-oriented MNEs establish operations abroad is to diversify and minimize risk so that overall corporate cash flows and earnings will be relatively stable.


Definitions:

Appeal to Authority

A logical fallacy where the argument relies on the opinion or position of an authority figure instead of concrete evidence.

Expert Credibility

The level of trustworthiness, expertise, and authority attributed to a person based on their knowledge or experience in a particular field.

Opponent

An individual or group who holds a position counter to one's own in a debate, argument, or competition.

Appeal to Authority

A logical fallacy that occurs when someone argues that a claim is true simply because an expert or authority asserts it to be true, without further evidence.

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