41.) International can reduce the volatility of an investment portfolio because national financial markets tend to move independently of each other. a) arbitrage b) centralization of the MNC's cash c) diversification d) investment 42.) Given the added risks associated with doing business abroad, companies should a) limit their foreign sales to less than 40% of total sales b) limit their foreign assets to less than 30% of total assets c) avoid foreign markets altogether unless they can earn a return in excess of the return they earn in their domestic market d) not limit their foreign sales at all 43.) According to Shapiro, if you were the CEO of a multinational corporation, which of the following would be MOST important to you in hiring a manager? One that a) Avoids risk at any price b) Manages effectively the political environment of the subsidiary country c) Anticipates every future disturbance related to the supply chain d) Makes decisions that anticipates problems and provides solutions that enhances the firm's prospects for growth