To Qualify as a Multinational Corporation (MNC),a Firm Must Meet

question 27

Multiple Choice

To qualify as a multinational corporation (MNC) ,a firm must meet all of the following criteria except:

• A) operations in more than one country.
• B) international sales.
• C) a mix of nationalities among managers and owners.
• D) sales of at least one million dollars per year.

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Definitions:

Equilibrium Price

The price at which the quantity of goods supplied is equal to the quantity of goods demanded in a market, resulting in no surplus or shortage.

Market Mechanism

Tendency in a free market for price to change until the market clears.

Federal Government

The national government of a federal state, which shares sovereignty with the constituent states or provinces and is typically responsible for national defense, foreign policy, and regulating inter-state commerce.

Equilibrium Price

The market price at which the quantity of a good demanded equals the quantity supplied, leading to market equilibrium.