In Terms of Global Business Strategy and Structure,a Multinational Strategy

question 97

Multiple Choice

In terms of global business strategy and structure,a multinational strategy:

• A)centralizes production and accounting and decentralizes marketing and human resources.
• B)concentrates financial management and control out of a central home base while decentralizing production,sales,and marketing operations to units in other countries.
• C)centralizes production,accounting,marketing,and human resources.
• D)disperses production and marketing,with centralized accounting,human resources and strategic management.
• E)concentrates production and marketing in each country,and decentralizes accounting and human resources.

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Definitions:

Incremental Cash Flow

The additional cash flow generated by a company from undertaking a new project or making a business decision, used to analyze the profitability of that decision.

Taxes

Taxes are compulsory financial charges or some other type of levy imposed upon a taxpayer by a governmental organization in order to fund government spending and various public expenditures.

Dividends

Payments made by a corporation to its shareholder members. It is the portion of corporate profits paid out to stockholders.

Opportunity Costs

The cost of forgoing the next best alternative when making a decision, representing the benefits one misses out on.