Into which category of multinational is IBM most likely to fall? a raw materials seeker b. market seeker cost minimizer d. all of the above 2 Which one of the following did NOT accelerate the growth of the global economy in the past decade? a the U.S.-Canada-Mexico frec-trade pact b. the creation of the European Union c. China's entrance into the WTO The Southeast Asia Currency Crisis The multinational financial system enables companies to a. avoid currency controls b. reduce taxes c. access lower cost financing sources d. all of the above 4 An alternative to the set up of an production facility overseas is to license a local firm to manufacture the company's products. One disadvantage of this method is the establishment of a competitor with loss of future revenues to the licensing firm b. the time to market entry c. the degree of financial and legal risks d. the amount of the investment required Which of the following is an example of reverse foreign investment for the U.S.? a Honda builds a factory in Ohio b. Apple builds a plant in Ireland that exports to the United States British Telecom issues new stock in the United States d American investors buy shares in Sony b Which of the following is NOT a failing of the theory of comparative advantage! it ignores the role of uncertainty and economics of scale i t assumes that factors of production are relatively immobile c. it assumes that there are no differentiated products d. it deals with trade only differentiate rather than undifferentiated products