China Is a Popular Target for MNEs,but It Is NOT

question 41

Multiple Choice

China is a popular target for MNEs,but it is NOT because of ___________.

• A) Low-cost input factors
• B) High market potential
• C) Their information censorship policy
• D) The high-quality labor pool there

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Definitions:

Maximize Profits

The process by which a firm determines the price and output level that returns the greatest profit.

Maximize Utility

The process of making choices to achieve the highest total level of satisfaction or benefit from consumed goods or services.

Rational

The characteristic of an individual or decision that is based on logic and aimed at achieving maximum utility.

Maximize Utility

The economic theory or objective of achieving the highest level of satisfaction possible with available resources.