Which of the Following Is a Disadvantage of Joint Ventures

question 14

Multiple Choice

Which of the following is a disadvantage of joint ventures?

• A)Joint ventures with local partners face a high risk of being subject to various forms of adverse government interference
• B)Companies have short-term commitment toward foreign market
• C)It does not give a firm tight control over subsidiaries
• D)It is generally the most costly method of serving a foreign market from a capital investment standpoint

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Definitions:

Total Variation

The overall measure of variability within a dataset, including both the explained and unexplained variance.

Coefficient of Determination

A measure in statistics that shows the proportion of the variance in the dependent variable that is predictable from the independent variable(s).

SSE

Sum of Squared Errors; a measure of the discrepancy between the data and an estimation model.

Regression Coefficients

Quantitative measures that assess the relationship between the dependent variable and each independent variable in regression analysis.