Which of the following countries presents a favorable benefit-cost-risk trade-off scenario for foreign expansion?
A. A country ridden by private-sector debt
B. A country with a free market system
C. A country experiencing a dramatic upsurge in inflation rates
D. A country that is heavily populated
E. A country that is less developed and politically unstable
B
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__________ Effects: FDI can bring jobs that would otherwise not be created there
Fill in the blank(s) with the appropriate word(s).
In deciding whether to drop its electronics product line, a company's manager should ignore ________
A) the variable and fixed costs it could save by dropping the product line B) the revenues it would lose from dropping the product line C) the effect of dropping the electronics product line on the sales of its other products D) the amount of unavoidable fixed costs