A(n)_______________ Strategy Makes Sense If a Firm Has Valuable Core

question 38

Multiple Choice

A(n) _______________ strategy makes sense if a firm has valuable core competencies that indigenous competitors in foreign markets lack,and if the firm faces relatively weak pressures for local responsiveness and cost reductions.

• A) international
• B) global
• C) multidomestic
• D) transnational
• E) multinational

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Definitions:

Investments In Associates

Financial investments in other companies where the investor has significant influence but not full control, typically denoted by owning 20% to 50% of the voting stock.

Debt Securities

Financial instruments representing a loan made by an investor to a borrower, typically corporate or governmental.

Trading Investment

Securities bought and held primarily for selling in the near term to generate income on short-term price differences.

Carrying Amount

The value at which an asset is recognized on the balance sheet after deducting accumulated depreciation or amortization.