Three Prerequisites That Must Be Satisfied Before a National Firm

question 31

Multiple Choice

Three prerequisites that must be satisfied before a national firm can transform itself into a multinational firm include:

• A) scale-based advantages, ownership-specific advantages, and contractual capabilities.
• B) location-specific advantages, ownership-specific advantages, and organizational capabilities.
• C) scale-based advantages, ownership-specific advantages, and organizational capabilities.
• D) location-specific advantages, knowledge advantages, and organizational capabilities.

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Definitions:

Call Option Values

The worth of a call option based on factors like the underlying asset's price, the strike price, and the time to expiration.

Dividend-Payout Policies

Corporate strategies determining the size and timing of dividend payments to shareholders.

Month of May

The fifth month of the year in the Gregorian calendar, associated with spring in the northern hemisphere and autumn in the southern hemisphere.

Put Option

A financial contract allowing the holder to sell a stock, bond, commodity, or other asset at a specified price within a certain period.