A Corporation That Can Source Its Products in One Country,sell

question 24

Multiple Choice

A corporation that can source its products in one country,sell them in another country,and raise the funds in a third country

• A)is a multinational corporation.
• B)is a domestic firm if all of the shareholders are from the same country.
• C)enjoys a built-in hedge against exchange rate risk.
• D)enjoys a built-in hedge against political risk.

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Definitions:

AIDA Plan

A marketing model that outlines the process for achieving successful advertising or sales strategies, standing for Attention, Interest, Desire, and Action.

Benefit Them

To have a positive effect on someone or provide them with an advantage.

Desire

A strong feeling of wanting to have something or wishing for something to happen.

Generalization

The process or method of formulating general concepts by abstracting common properties of specific instances.