Identify a True Statement About Alliances and Joint Ventures

question 17

Multiple Choice

Identify a true statement about alliances and joint ventures.

• A) They prevent partners from achieving economies of scale and scope that would be easy for a firm operating alone to accomplish.
• B) They are likely to be less favored as a means of doing business in emerging countries.
• C) They fail to help partners overcome the effects of local collusion or limits being put on foreign competition.
• D) They have become popular in recent years because of the significant operational benefits they offer to both multinational companies (MNCs) and their local partners.

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Definitions:

Milgram Experiment

A psychological experiment conducted by Stanley Milgram in the 1960s to study obedience to authority, where participants were instructed to administer electric shocks to another person.

Stanford University Prison Experiment

A psychological study conducted by Philip Zimbardo in 1971 at Stanford University, where students were assigned roles of prisoners and guards to explore the effects of perceived power.

Generalization

Drawing a conclusion about a certain characteristic of a population based on a sample from it.

Logical Support

The provision of reasons or evidence to justify a claim or argument.