A Form of MNC Which Exposes the Firm to the Least

question 95

Multiple Choice

A form of MNC which exposes the firm to the least amount political risk, and is therefore the preferred arrangement by both business and foreign governments is called a (an)

• A) exporter.
• B) licensing agreement.
• C) joint venture.
• D) fully-owned foreign subsidiary.

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Definitions:

Critical Value

A point on the scale of the test statistic beyond which we reject the null hypothesis; it marks the threshold of statistical significance.

P Value

The probability of obtaining test results at least as extreme as the observed results, assuming that the null hypothesis is correct.

Null Hypothesis

A statement proposing no significant difference or relationship between variables, serving as a default assumption to be tested against.

Independent-Samples

Refers to a comparison between groups where the participants in each group are different and do not overlap.