Which of the Following Is True of Firms at the Internationalization

question 77

Multiple Choice

Which of the following is true of firms at the internationalization stage of international marketing?

• A) The primary focus of operations and production is to service domestic market needs.
• B) As domestic demand increases and absorbs surpluses, foreign sales activity is reduced or even withdrawn.
• C) Profit expectations from foreign markets are seen primarily as a bonus in addition to regular domestic profits.
• D) Planning generally entails production of goods outside the home market.
• E) The firm treats the world, including the home market, as one market.

---

Definitions:

Company's Liquidity

An indicator of a company's ability to meet its short-term financial obligations, ensuring it has enough cash or liquid assets.

Interest (Finance) Expenses

Costs incurred by an entity for borrowed funds; these expenses may include the cost of debt or loan interest payments.

Statement of Income

A financial report that shows a company's revenue and expenses over a specific period, revealing the net profit or loss.

Secured Notes

Debt securities backed by collateral, providing lenders with assurance of repayment through the borrower's assets in case of default.