Which of the Following Is a Reason That Firms Take

question 48

Multiple Choice

Which of the following is a reason that firms take a reactive approach to exporting rather than a proactive approach?

• A) Most firms are familiar with the foreign market opportunities and therefore do not need to utilize proactive approaches.
• B) They are intimidated by the complexities and mechanics of exporting to countries where business practices, language, culture, legal systems, and currency are very different from the home market.
• C) Most firms already know where the market potential and opportunities are and they do not need to be proactive.
• D) They are not intimidated by the complexities and mechanics of exporting to foreign countries and can, therefore, use the same reactive approaches that work in their home market.

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Definitions:

Prospective Partner

An individual or entity being considered for a potential partnership or collaborative relationship.

Unreasonable Liability

A legal responsibility or obligation that is excessively burdensome or unfair under the circumstances.

Respondeat Superior

A legal doctrine that holds an employer or principal legally responsible for the wrongful acts of an employee or agent, when such acts occur within the scope of the employment or agency.

Liability

Refers to the legal responsibility for one's acts or omissions.