Podcast
Questions and Answers
What is the main difference between horizontally and vertically integrated MNCs?
What is the main difference between horizontally and vertically integrated MNCs?
- The level of control over their subsidiaries
- Their objectives in the global market
- The number of countries they operate in
- Their organizational structure and supply chain management (correct)
What is the primary purpose of the TNI Index?
What is the primary purpose of the TNI Index?
- To evaluate the economic environment of a country
- To calculate the exchange rate of a country's currency
- To determine the level of globalization of an MNC (correct)
- To measure the level of corruption in a country
What is the main difference between Foreign Direct Investment (FDI) and Foreign Portfolio Investment (FPI)?
What is the main difference between Foreign Direct Investment (FDI) and Foreign Portfolio Investment (FPI)?
- FDI involves long-term control, while FPI involves short-term control (correct)
- FDI involves horizontal integration, while FPI involves vertical integration
- FDI is used for tax saving motives, while FPI is used for strategic motives
- FDI involves ownership of more than 10% of a company's stock, while FPI involves ownership of less than 10%
What is the main motivation behind the 'Tax saving motive' for Foreign Direct Investment (FDI)?
What is the main motivation behind the 'Tax saving motive' for Foreign Direct Investment (FDI)?
What is the term for the networks of relationships and obligations in China?
What is the term for the networks of relationships and obligations in China?
What is the primary goal of natural hedging?
What is the primary goal of natural hedging?
What is the main idea behind the 'Internalization' theory of Foreign Direct Investment (FDI)?
What is the main idea behind the 'Internalization' theory of Foreign Direct Investment (FDI)?
What is the main characteristic of a 'Vertically integrated' Foreign Direct Investment (FDI)?
What is the main characteristic of a 'Vertically integrated' Foreign Direct Investment (FDI)?
What is the name of the legislation that regulates bribery in the US?
What is the name of the legislation that regulates bribery in the US?
What is the main purpose of using an FX swap in the context of Foreign Exchange (FX) risk management?
What is the main purpose of using an FX swap in the context of Foreign Exchange (FX) risk management?
