Which of the Following Statements Is True About Organizing a Multinational

question 92

Multiple Choice

Which of the following statements is true about organizing a multinational company?

• A)Globalization,as a competitive strategy,is inherently less vulnerable to risk than a multidomestic or domestic strategy.
• B)In determining whether or not to globalize a particular business,managers should look first at their competitors instead of their own industry.
• C)Market,economic,environmental,and competitive factors do not influence the potential gains to be realized by following a global strategy.
• D)Whether a company should undertake a multidomestic or global approach to organizing its international operations will largely depend on the nature of the company and its products.

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Definitions:

Depreciation Expense

This refers to the allocation of the cost of a tangible asset over its useful life, representing how much of the asset's value has been used up during an accounting period.

Adjustment Columns

Refers to columns in a worksheet or financial statement used to record adjustments to certain accounts before preparing the final financial statements.

Long-Term Asset

Assets that are expected to provide economic benefits beyond one year, such as equipment, real estate, and intellectual property.