If a Firm Engages in Final Assembly in Its Home

question 37

Multiple Choice

If a firm engages in final assembly in its home operations,then which of the following operations of the firm in a foreign country would be considered a downstream vertical FDI? 

• A) Research and development 
• B) Components procurement 
• C) Marketing 
• D) Final assembly

---

Definitions:

Operational Justice

A concept concerning fairness and ethical treatment within the procedural aspects of organizational operations.

Procedural Justice

The concept that fair and transparent processes are as important as the outcomes themselves in determining perceptions of fairness among individuals.

Goal-Setting Theory

A framework that suggests the establishing of clear, specific, and challenging goals can significantly influence performance and motivation.

Clear And Easy

Describes information, instructions, or processes that are straightforward, simple to understand, and unambiguous.