Greenfield Operations Are Similar to Acquisitions in That They Are

question 50

Multiple Choice

Greenfield operations are similar to acquisitions in that they are both examples of _____.

• A) partially owned subsidiaries 
• B) wholly owned subsidiaries 
• C) non-equity mode of entry into foreign markets 
• D) equity mode of entry into foreign markets limited to a contractual agreement

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Definitions:

Business Owners

Individuals who legally possess a company, assume major risks, and enjoy the benefits from its operation and growth.

Inventories

Quantities of goods or materials that a company holds for the purpose of sale or production at a given time.

Recession

An appreciable fall in economic activities spread throughout the economy, continuing for longer than a few months, typically observed in real GDP, real income, employment, industrial production, and wholesale-retail sales.

Real GDP

Gross Domestic Product adjusted for inflation, measuring the value of goods and services produced in an economy at constant prices.