Which of the Following Strategies Is Most Effective in Minimizing

question 79

Multiple Choice

Which of the following strategies is most effective in minimizing political risks for a multinational corporation in situations in which the technology is unique and the risk is high?

• A) Trade embargo
• B) Licensing
• C) Expanding the investment base
• D) Planned confiscation
• E) Expropriation

Grasp the importance of creating a realistic and credible vision as opposed to wishful thinking.

Understand the dominant factors in political communications.

Analyze strategies used by companies to position themselves in response to government policies.

Identify examples of government communications that are essential for public well-being.

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Definitions:

Sardines

Small, oily fish within the herring family of Clupeidae, often canned and eaten by humans.

Marginal Rate

Often referred to as the marginal rate of substitution or the marginal tax rate, indicating the rate at which one can trade off one good for another or the tax rate on the next dollar earned, respectively.

Substitution

Substitution refers to the economic principle where consumers replace more expensive items with less expensive ones or firms replace inputs with cheaper alternatives, in response to changes in price or availability.

Videocassette

A medium for the recording of analog audio and video tapes, now largely obsolete.