Which of the Following Is the Basic Difference Between Multidomestic

question 81

Multiple Choice

Which of the following is the basic difference between multidomestic corporations and global companies?

• A)Multidomestic corporations typically do business with more countries than global companies.
• B)Multidomestic corporations are run by global companies but must be owned by a local,national company.
• C)Multidomestic corporations decentralize management to the local country,while global companies centralize management in the home country.
• D)Multidomestic corporations reflect an ethnocentric attitude,while global companies reflect a polycentric attitude.

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Definitions:

Advertising Budget

The amount of money allocated towards promoting a product, service, or brand during a set period.

Sales Increase

A rise in the quantity or amount of products or services sold over a specific period.

Opportunity Loss

The loss of potential gain when one alternative is chosen over another.

Gross Profits

The difference between revenue and the cost of goods sold before deducting overhead, payroll, taxes, and interest payments.