Which of the following represents outbound home-based international exchange activities?
A) foreign direct investment
B) equity-based collaborative venture
C) exporting
D) franchising

Question

Quizplus · Accepted Answer

Exporting refers to any home-based international exchange activity where goods or services are sold from one country to another. In this case, goods or services are being sent out from the home country to other countries, making it an outbound activity.

A) Foreign direct investment refers to a company investing in and owning a controlling stake in a foreign company, making it an inbound activity.

B) Equity-based collaborative ventures are partnerships between two or more companies, where they share ownership and control over a venture. While it can involve companies from different countries, it is not necessarily an outbound activity as the partnership can be established in either partner's home country.

D) Franchising involves a company allowing an independent operator to use its brand and business model in a foreign country. While it does involve some outbound activities, such as providing training and support to the franchisee, it is not solely an outbound activity as the franchisee is operating in their home country.

Which of the Following Represents Outbound Home-Based International Exchange Activities