Question Details

Which of the following theories suggests that firms seek to penetrate new markets 



1.The commonly accepted goal of the MNC is to:
a.	maximize short-term earnings.
b.	maximize shareholder wealth.
c.	minimize risk.
d.	A and C.
e.	maximize international sales.

2.Which of the following is not a form of corporate control that could reduce agency problems for an MNC?
a.	stock options.
b.	hostile takeover threat.
c.	investor monitoring.
d.	all of the above are forms of corporate control that could reduce agency problems for an MNC.

3.Which of the following theories suggests that firms seek to penetrate new markets over time?
a.	theory of comparative advantage.
	c. product cycle theory.	product cycle theory.
b.	imperfect markets theory.	d. none of the above	none of the above

4.Licensing is the process by which a firm provides its technology (copyrights, patents, trademarks, or trade names) in exchange for fees or some other specified benefits.
a.	true.	b. false	false.

5.According to the text, products and services are generally becoming _______ standardized across countries, which tends to _______ the globalization of business.
a.	more; encourage	c. less; discourage	less; discourage
b.	more; discourage	d. less; encourage	leless; encourage




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