When Demand for a Small Business Is So High in a Foreign

question 37

Multiple Choice

When demand for a small business is so high in a foreign country that it justifies setting up a local branch,which of the following stages of internationalization is the small business at?

• A)Export management
• B)Passive exporting
• C)Production abroad
• D)None of the above

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Definitions:

Salary

Regular payment from an employer to an employee, often expressed on an annual basis.

Capital Balances

Represent the amount of funds contributed by owners plus retained earnings in a company's equity.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenue.