One of the Chief Disadvantages of a Wholly Owned Subsidiary

question 37

Multiple Choice

One of the chief disadvantages of a wholly owned subsidiary is that:

• A) it is often perceived as a threat to cultural or economic sovereignty.
• B) it is often perceived as generating low profits.
• C) it is often perceived as having problems in supply lines.
• D) it is often perceived as being more expensive
• E) it is often perceived as a threat to the local media for promotion.