Narrative 7-1 India Has the Fastest-Growing Demand for Consumer Products in the in the World

question 4

Multiple Choice

Narrative 7-1
India has the fastest-growing demand for consumer products in the world. In recent years,Coca-Cola attempted to enter the Indian market once again. Coca-Cola's first attempt to enter the Indian market a decade earlier was grossly mismanaged,which led to the company losing 20 billion Indian rupees. In that first attempt,Coca-Cola purchased Thumbs Up,the leading India-based carbonated soft drink. The company hoped to replace Thumbs Up with Coke while maintaining the Thumbs Up distribution strategy. For its return to the market,Coca-Cola built five plants,cut costly staff,revamped transport,shrunk bottles,and made the bottles lighter to increase a truck's carrying capacity. It also increased its number of distributors and dumped a global advertising campaign that proved irrelevant to the Indian market.
-Refer to Narrative 7-1. Why is Coca-Cola called a multinational company?

• A)It owns businesses in more than one country. 
• B)It is not affected by protectionism. 
• C)It is able to avoid trade barriers. 
• D)It pays no tariffs.

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