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Questions and Answers
Joint ventures involve majority ownership by the international firm to control the venture.
Joint ventures involve majority ownership by the international firm to control the venture.
False
Management contracts in manufacturing involve production of goods by the mother company.
Management contracts in manufacturing involve production of goods by the mother company.
False
Wholly-owned plants in foreign countries do not require any local ownership.
Wholly-owned plants in foreign countries do not require any local ownership.
False
Exporting as a strategy involves setting up physical operations in the foreign markets.
Exporting as a strategy involves setting up physical operations in the foreign markets.
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Contract manufacturing often involves a local firm manufacturing products for a foreign market under a contract with an international company.
Contract manufacturing often involves a local firm manufacturing products for a foreign market under a contract with an international company.
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Management contracts in manufacturing are mainly focused on exporting goods directly to foreign markets.
Management contracts in manufacturing are mainly focused on exporting goods directly to foreign markets.
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Exporting allows a company to enter foreign markets with a minimum change in product lines, company organization, investment or company vision.
Exporting allows a company to enter foreign markets with a minimum change in product lines, company organization, investment or company vision.
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One of the advantages of exporting is reducing domestic competitiveness.
One of the advantages of exporting is reducing domestic competitiveness.
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Exporting helps in stabilizing seasonal market fluctuations.
Exporting helps in stabilizing seasonal market fluctuations.
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Exporting does not offer any potential for corporate expansion.
Exporting does not offer any potential for corporate expansion.
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Exporting always results in increased administrative costs.
Exporting always results in increased administrative costs.
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Exporting requires companies to wait longer for payments compared to selling domestically.
Exporting requires companies to wait longer for payments compared to selling domestically.
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