Firms Prefer FDI to Licensing Because FDI_____

question 50

Multiple Choice

Firms prefer FDI to licensing because FDI_____.

• A) increases the chances of opportunism when dealing with a host nation entity 
• B) requires complete dissemination of technological know-how to host nation entity 
• C) protects the firm from economic agglomeration 
• D) provides the firm with direct ownership to its foreign assets

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Definitions:

Parental Investment Theory

A theory suggesting that the amount and type of investment parents make in their offspring are determined by the benefits and costs to their own evolutionary fitness.

Male Users

Specifically referencing male individuals who use or interact with a particular service, product, or system.

Appearance

The way that someone or something looks to other people, encompassing aspects like style, cleanliness, and attractiveness.

Cross-Cultural

Pertaining to or comparing two or more different cultures, often to understand cultural influences on behavior, attitudes, and values.