The Purchase of Less Than 10 Percent of the Shares

question 170

Multiple Choice

The purchase of less than 10 percent of the shares of ownership in a company in another country is known as

• A)a hostile takeover.
• B)an ineffective method for encouraging economic growth.
• C)foreign direct investment.
• D)portfolio investment.

---

Definitions:

Integration

The process of combining or coordinating separate elements or groups into a unified whole, often seen in organizational, social, or technological contexts.

Horizontal Differentiation

A structural feature of an organization that involves the division of labor and the specialization of tasks horizontally across departments.

Centralization

The accumulation of decision-making power at the higher echelons of an organization.

Standardization

The process of implementing and developing technical standards to ensure consistency, safety, and interoperability of products or services across different areas or sectors.