In January 2009, Walmart Acquired a Controlling Interest in Chile's

question 104

Multiple Choice

In January 2009, Walmart acquired a controlling interest in Chile's leading food retailer. Since then, Walmart has opened the first environmentally friendly supermarket in Chile that uses energy efficient technology throughout the store. Walmart is planning to open additional stores in Chile over the next five years. Walmart's top executives are considering the idea of transferring U.S. managers to Chile to oversee the construction and establishment of the new stores. Which of the following, if true, undermines the argument of using expatriates to establish the new Walmart stores in Chile?

• A)Adaptability screening tests indicate that three potential candidates are bilingual and travel overseas frequently.
• B)Walmart offers overseas candidates extensive training on cultural differences and adaptation skills.
• C)The most qualified Walmart managers have no foreign travel experience and do not speak Spanish.
• D)A balance sheet approach is used by Walmart, but workers do not receive hardship allowances for moving to Chile.

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Definitions:

Bonds

Debt instruments signifying an investment made by an investor in the form of a loan to either a corporation or a government entity.

Journal Entries

Records of financial transactions in the books of accounts, acting as the primary source for all accounting processes.

Available-for-Sale Securities

Financial assets that are not classified as held-to-maturity or trading securities, and can be sold in the short-term.

Market Adjustment

Market adjustment is the process of modifying the value of an asset or inventory to reflect its current market value rather than its book value, often due to changes in demand, supply, or economic conditions.