ABC Appliance (Scenario) The ABC Appliance Corporation Is a Florida-Based Manufacturer of Refrigerators

question 28

Multiple Choice

ABC Appliance (Scenario)
The ABC Appliance Corporation is a Florida-based manufacturer of refrigerators, dishwashers, and other large household appliances. ABC takes advantage of NAFTA, and as a result, the firm has loyal customers across North America. ABC managers would like to expand into the Asian market, but are unsure of the best way to do so. ABC managers are meeting to discuss various possibilities for entering the Asian market.
-Which of the following most likely supports a decision to enter the Asian market through a project-based, nonequity collaborative venture with an Asian appliance manufacturer to create an environmentally friendly dishwasher?

• A) Asian firms have offered to pool their resources with ABC to create a new legal entity.
• B) Managers of both firms have decided not to seek ownership, rather they have decided to pool resources.
• C) ABC managers have the financial resources to quickly build a new Asian plant.
• D) The Asian government has offered incentives to ABC if the firm builds a plant.

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Definitions:

Positive and Negative Implications

The beneficial (positive) and harmful (negative) effects or outcomes that may result from a particular action, decision, or situation.

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A body of knowledge that examines how individuals and groups act within organizations and how these entities affect behavior.

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Organizational Behavior

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