The Argument That Firms Prefer FDI Over Licensing to Retain

question 33

Multiple Choice

The argument that firms prefer FDI over licensing to retain control over know-how,manufacturing,marketing,and strategy or because some firm capabilities are not amenable to licensing constitutes the _____.

• A)comparative advantage theory
• B)distribution theory
• C)new trade theory
• D)internalization theory

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Definitions:

Population Means

The average value of a numeric data set, pertaining to the entire population being studied.

Confidence Interval Estimate

A range of values, derived from the sample data, that is likely to contain the value of an unknown population parameter, with a specified level of confidence.

Democrats

A member or supporter of the Democratic Party, one of the two major contemporary political parties in the United States, traditionally associated with progressive and liberal policies.

Republicans

A member or supporter of the Republican Party, one of the two major political parties in the United States, traditionally advocating for conservative policies.