Brixbee Inc

question 6

Multiple Choice

Brixbee Inc., a European electronics company, has given a domestic firm in Lougard, an Asian country, the rights to manufacture and market its product within Lougard. In this scenario, Brixbee Inc. is most likely involved in _____.

• A) foreign outsourcing
• B) a limited partnership
• C) foreign licensing
• D) direct investment

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Definitions:

Host-Country Nationals

Refers to employees who are citizens of the country in which a multinational company's branch or subsidiary is located, as opposed to expatriates or immigrants.

Subsidiary Country

A nation where a corporation, through a subsidiary company, conducts part of its business operations.

Culturally Sensitive Products

Goods or services designed with an awareness of and respect for the cultural differences and preferences of their potential buyers.

Multidomestic

A strategy where a company customizes its products or services to suit local markets and operates relatively independently in each country.