Which of the following statements is true of the terms under which companies compete?
A) The governments of subsidiary countries establish the terms of competition and trade on various transactions.
B) The terms under which companies compete is determined by the fluctuations in the exchange rate of the currencies of subsidiary countries.
C) The terms under which companies compete is determined by direct negotiation between the host government and the multinational corporation.
D) The ability to curtail unprofitable operations determines the terms under which companies compete.
E) The terms under which companies compete in a competitive marketplace are established by the host government.

Question

Quizplus · Accepted Answer

The terms under which companies compete are often determined by direct negotiation between the host government and the multinational corporation, as these negotiations can set specific conditions and agreements for business operations.

Which of the Following Statements Is True of the Terms