A Multinational Firm May Wish to Expand Abroad Because Demand

question 72

Multiple Choice

A multinational firm may wish to expand abroad because demand abroad is the result of the move abroad by established customers. What is the term used to describe this?

• A) Derived demand
• B) Abroad demand
• C) Manufacturer sustenance
• D) Enterprise zone

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Definitions:

Sarbanes-Oxley Act

A U.S. law enacted in 2002 aimed at enhancing corporate governance and accountability, in response to financial scandals.

Securities Fraud

Deceptive practices in the securities markets, including false information, manipulation, or theft, intended to deceive investors or manipulate financial markets.

Computer Fraud and Abuse Act

A U.S. law that prohibits accessing a computer without authorization or in excess of authorization.

Interstate Commerce

Economic activity or trade that crosses state lines within the United States, regulated by federal laws.