1. An important (additional) consideration for a direct foreign investment is

Group of answer choices

maximizing the firm's profits.

political risk.

maintaining the domestic cost of capital.

attaining a high international P/E ratio.

2. The I in OLI refers to an advantage in a firm's home market that is an:

Group of answer choices

industry-specific advantage.

international abnormality.

internalization.

internationalization

3. The ________ structure involves the assignment of operational responsibility of the different areas of the world to line managers.

Group of answer choices

geographic

integrated

ethnocentric

rationalistic

4. Which of the following market entry strategies allows an organization 100 percent ownership of its foreign subsidiaries?

Group of answer choices

joint venture

franchising

direct investment

product sourcing

5. A ________ is referred as the collaboration between two or more firms on a specific project to serve one or more markets.

Group of answer choices

joint venture

franchise

direct investment

portfolio

6. How can an organization gain market access in a new country that limits imports?

Group of answer choices

by establishing a production facility within the country

by establishing a local supply chain system in the neighboring country

by forming a partnership with a local distribution company

by locating a production source outside the market

7. If Canada were to devalue its currency, the most likely result would be

Group of answer choices

a decrease in the sale of domestic goods.

an increase in foreign tourists to Canada.

an increase in its imports.

a decrease in the number of foreign tourists to Canada.