Which of the following statements is true of foreign direct investment?
A) The multinational either creates a wholly or partially owned and controlled foreign subsidiary in the host country.
B) It involves permitting a licensee of a trademark to market the licensor's goods or services in a particular nation.
C) It is less risky than international trade and international franchising and licensing.
D) The capital invested is not subject to government restrictions and domestic law of the host country.
A
You might also like to view...
If a marketing manager segments the market into culture-, sports-, or outdoor-oriented groups, he or she is segmenting the market on the basis of ________
A) loyalty status B) behavioral occasions C) user status D) psychographic lifestyle E) readiness stage
Which of the following questions most closely involves analysis of the price element of the marketing mix?
A) What do competitors charge for their products? B) What is the target's level of awareness for each competitive brand? C) What type of media is most appropriate to communicate the desired message to the target? D) Are there any foreseeable changes in the requirements of the target? E) Will wholesale, retail, or direct-to-consumer channels be used?