Which of the Following Is True of Basic Entry Decisions

question 63

Multiple Choice

Which of the following is true of basic entry decisions for an international firm into a foreign market?

• A) Greater value of a product in a foreign market translates into an ability to charge higher prices and/or to build sales volume more rapidly.
• B) An international firm should not rank countries in terms of their attractiveness because the parameter can change frequently.
• C) If an international business can offer a product that has not been widely available in a foreign market and that satisfies an unmet need, the value of that product to consumers is likely to be much lesser.
• D) The costs and risks associated with doing business in a foreign country are typically lower in less developed nations.
• E) Other things being equal, the benefit-cost-risk trade-off is likely to be unfavorable in politically stable nations that have free market systems.

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