Which of These Is a Common MNE Structure

question 15

Multiple Choice

Which of these is a common MNE structure?

• A) Product division structure
• B) Functional division structure
• C) Geographic division structure
• D) All of the above

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Definitions:

Profit-Maximizing

This is the process by which a company adjusts its production levels and pricing strategies to achieve the highest possible profit.

Short Run

A period in which at least one input is fixed and cannot be changed by the firm.

Economies Of Scale

The advantages in cost that enterprises gain by scaling up their operations, usually seen as a decrease in the per-unit cost of output as production scales up.

Minimum Average Cost

The lowest point on the average cost curve, representing the most efficient scale of production for minimizing costs.