Exam 16: Corporate Strategy and Foreign Direct Investment

Firms who wish to go global but who are not ready to assume significant risk may resort to ____________ in order to compete internationally.

Economies that exist when increasing production leads to a less-than-proportionate increase in costs are known as economies of _________.

________ direct investment is investment that is cross-border but within an industry.

Economies of _______ exist whenever the same investment can support multiple profitable activities less expensively in combination than separately.

Successful multinational corporations are those that can

Foreign direct investment would be the acquisition abroad by the MNC of

When multinationals hold capital in the form of trademarks,patents,and general marketing skills,it is referred to as

_________ often provides multinationals with a valuable method to reduce currency and political risks.

The basic Japanese strategy for international expansion has been to

Which one of the following strategies do the senescent multinationals NOT follow when the competitive advantages in their product lines or markets become dissipated?

Which one of the following would NOT be considered intangible capital?

_____________ will fade in time and multinationals must continually invest in creating new ones that are transferable overseas.

One advantage of the senescent multinational is its ______ capability.

The choice of whether to sell abroad by exporting,licensing foreign producers,or manufacturing abroad depends on all of the following EXCEPT

When automakers adopted just-in-time manufacturing and inventory systems,the only way to meet the logistic challenges for the tire industry was to ________.

Multinationals own intangible capital in the form of _________.

In a mature industry,the most important barriers to entry are NOT likely to be

Matsushita has leveraged its investment in advertising and distribution of Panasonic products in a number of consumer and industrial markets,ranging from PCs to VCRs.This is an example of

In the beginning stages of the exporting process,a major challenge is the

Foreign direct investment is most likely to be economically viable in those settings where