As a "Central Bank," Which of the Following Is TRUE

question 507

Multiple Choice

As a "central bank," which of the following is TRUE regarding the Fed?
I.The Fed is a public authority that regulates the nation's banks.
II.The Fed is not allowed to provide services to commercial banks like Citibank.
III.The Fed is required to provide banking services to private citizens.

• A) I
• B) II
• C) I and II
• D) I and III

---

Definitions:

Multidomestic Strategy

A strategy whereby global firms respond to differentiated needs and preferences in each local market in which they operate.

Meganational Strategy

A strategy whereby global firms focus on increasing profitable growth by reaping cost reductions from economies of scale and other advantages of global integration.

Transnational Strategy

A strategy whereby global firms take a hybrid approach that combines the meganational and multidomestic strategies, simultaneously offering the benefits of both global and local advantages.

Location Specificity

The importance and impact of a geographical location on a business's operations, strategy, and success.