A Viable Strategy Option for a Local Company When Entering

question 94

Multiple Choice

A viable strategy option for a local company when entering into competition with global challengers does not involve?

• A)using cross-market transfer strategies to hedge against the risks of exchange rate fluctuations and adverse political developments
• B)developing business models to exploit shortcomings in local distribution networks or infrastructures
• C)taking advantage of low-cost labor and other competitively important local workforce qualities
• D)transferring a company's expertise to cross-border markets and initiating actions to contend on a global scale
• E)using acquisitions and rapid growth strategies to defend against expansion-minded multinationals

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Definitions:

Allocation

The process of distributing resources, costs, or revenues among various accounts, departments, or products based on specific criteria.

Indirect Salaries

Salaries for employees who do not directly work on the production of products or services but support those who do.

Basis of Sales

The underlying foundation or principle for recognizing revenue from sales transactions in accounting records.

Departmental Accounting System

This system allows for accounting and financial reporting to be done separately by departments within an organization, facilitating more specific financial oversight.