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Hedging the Position of Individual Subsidiaries Is Generally Necessary, Even

question 40

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Hedging the position of individual subsidiaries is generally necessary, even if the overall performance of the MNC is already insulated by the offsetting positions between subsidiaries.


Definitions:

Learned Helplessness

An instance where someone experiences an overwhelming feeling of being powerless, due to either a distressing occurrence or ongoing unsuccessful attempts.

Food Deprivation

The condition of being prevented from accessing sufficient nutrients and calories needed for health and well-being.

External Locus

A belief that control over one's life events and outcomes resides primarily with external forces or circumstances.

Julian Rotter

A psychologist known for his work in social learning theory and the development of the concept of locus of control.

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