If a Firm Is Operating in an Environment with a High

question 21

Multiple Choice

If a firm is operating in an environment with a high pressure for globalization,which of the following is the most preferred strategy? 

• A) Defender strategy 
• B) Extender strategy 
• C) Dodger strategy 
• D) Collusion strategy

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Definitions:

Investment Freedom

The ease with which individuals and corporations can allocate their resources without facing excessive regulatory hurdles.

Trade Freedom

A measure of the absence of trade barriers that affect imports and exports, such as tariffs and quotas.

Fiscal Freedom

The degree to which individuals and businesses control their own economic resources, including the policies and laws that influence taxation and government spending.

Tariff

A tax imposed by a government on imported or, less commonly, exported goods to control trade volumes, protect domestic industries, or generate revenue.