Which of the Following Statements Regarding Multidomestic Competition Is False

question 16

Multiple Choice

Which of the following statements regarding multidomestic competition is false?

• A) One of the features of multidomestic competition is that buyers in different countries are attracted to different product attributes.
• B) With multidomestic competition,the power and strength of a company's strategy and resource capabilities in one country significantly enhance its competitiveness in other country markets.
• C) One of the features of multidomestic competition is that industry conditions and competitive forces in each national market differ in important respects.
• D) One of the features of multidomestic competition is that the mix of competitors in each country market varies from country to country.
• E) With multidomestic competition,rivals battle for national championships,and winning in one country market does not necessarily signal the ability to fare well in other countries.

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Definitions:

External Financing Needed

The additional funding required by a firm to finance its business activities and growth outside of internal cash flows.

Dividend Payout Ratio

The percentage of a company's earnings paid out to shareholders in the form of dividends.

Profit Margin Ratio

A financial metric that measures the percentage of profit a company produces from its total revenue.

Dividend Payout Ratio

A financial metric that measures the percentage of earnings paid to shareholders in dividends.