The Evolutionary Perspective of FDI Claims That International Investment Is

question 21

True/False

The evolutionary perspective of FDI claims that international investment is an ongoing evolutionary process shaped by an MNE's international experience, organizational capabilities, strategic objectives, and environmental dynamics.

---

Definitions:

Margin of Safety

The difference between actual sales and the break-even point, indicating the extent to which sales can decline before losses begin.

Net Operating Income

The profit a company generates from its core business operations, excluding expenses and revenues from non-operating activities.

Single Product Firm

A company that specializes in the production and sale of one specific product or type of product.

Price Increase

A situation where the selling price of goods or services is raised by a company.