Which of the Following Statements About Operating a U

question 172

Multiple Choice

Which of the following statements about operating a U.S.-based franchise in a foreign country is most accurate?

• A)U.S.-based franchises are most likely to succeed in a foreign market if they use the same strategies and procedures used by franchises in the United States.
• B)There are limited opportunities for U.S.-based franchises to open in foreign countries because,aside from Canada,Mexico,and a small number of European countries,most foreign nations do not allow American-owned franchises to operate within their borders.
• C)The operating costs for franchises in foreign countries may be fairly high,but chances for success are quite good,because competition is likely to be less intense and the customer base in many foreign countries is expanding.
• D)It is difficult for U.S.-based franchises to succeed in most foreign countries because the low incomes of most households in these countries result in weak demanD.Franchises in foreign countries can be more expensive,but this is usually counterbalanced by less competition and a rapidly expanding consumer base.

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Definitions:

Gastrulation

Animal developmental process by which cell movements produce a three-layered gastrula.

Blastula

Hollow ball of cells that forms as a result of cleavage.

Zygote

Diploid cell that forms when two gametes fuse; the first cell of a new individual.

Prostaglandin

A group of physiologically active lipid compounds having diverse hormone-like effects in animals, such as regulating inflammation, blood flow, and the formation of blood clots.