Axis Partners,a Canadian Mutual Fund,recently Expanded Its Operations by Opening

question 35

Multiple Choice

Axis Partners,a Canadian mutual fund,recently expanded its operations by opening a branch in Shanghai,China,to handle market analysis.The company used an integration strategy for staffing its new office.Entry-level positions in Shanghai were filled by recruiting graduates from local campuses.However,they soon realized that this strategy was not as successful in China as it was in Canada.Which of the following,if true,could explain the reason for this?

• A) Employee turnover rates in the financial services industry in China is one of the lowest in the world.
• B) The employees in Shanghai were being paid lesser than their counterparts in Canada.
• C) Some of its successful competitors in China use a differentiation strategy.
• D) Few students in Shanghai chose finance as their subject of specialization.

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Definitions:

Without Recourse

A legal term indicating that the holder of a financial instrument cannot demand payment from the original issuer in the case of default.

Transfer

The act of moving or conveying property, rights, or obligations from one entity or person to another.

Forged Signature

A signature that is fraudulently copied or imitated without the authorization of the person whose signature it purports to be, often intended to deceive or commit fraud.