If an MNC Attempts to Build a Subsidiary in a Country

question 15

Multiple Choice

If an MNC attempts to build a subsidiary in a country that will take business away from local firms that are protected by the host government, the host government might do all of the following except:

• A) require the use of local employees for managerial positions.
• B) impose additional taxes.
• C) subsidize the MNC.
• D) subsidize the MNC's competitors.

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Definitions:

Genes

Units of heredity made up of DNA that carry information for the development, functioning, and reproduction of organisms.

Active

Engaged in movement or participation; not passive.

Inactive

Not engaging in physical activity or not currently in operation.

DNA

Deoxyribonucleic acid, a molecule that carries the genetic instructions used in the growth, development, functioning, and reproduction of all known living organisms and many viruses.