Direct Exporting Refers to

question 101

Multiple Choice

Direct exporting refers to

• A) offering the right to a trademark, patent, trade secret, or similarly valued items of intellectual property in return for a royalty or fee.
• B) contracting with a foreign firm to manufacture products according to certain specifications.
• C) when a foreign country and a local firm invest together to create a local business.
• D) when a firm sells its domestically produced goods in a foreign country through an intermediary.
• E) when a firm sells its domestically produced goods in a foreign country without intermediaries.

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Definitions:

Factors of Production

The factors of production include land, labor, capital, and entrepreneurship, which are the resources used in the process of producing goods and services.

Real GDP

An evaluation of the economic output's value, after accounting for changes in prices because of inflation or deflation, demonstrating the genuine amount of goods and services produced.

Well-Being

The state of being comfortable, healthy, or happy, often used to describe the quality of life for individuals and societies.

U.S. Residents

Individuals living in the United States, including citizens, permanent residents, and long-term visitors.