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Which of the Following Is True of Basic Entry Decisions

Question 53

Multiple Choice

Which of the following is true of basic entry decisions for an international firm into a foreign market?


A) Greater value of a product in a foreign market translates into an ability to charge higher prices and/or to build sales volume more rapidly.
B) An international firm should not rank countries in terms of their attractiveness because the parameter can change frequently.
C) If an international business can offer a product that has not been widely available in a foreign market and that satisfies an unmet need, the value of that product to consumers is likely to be much lesser.
D) The costs and risks associated with doing business in a foreign country are typically lower in less developed nations.
E) Other things being equal, the benefit-cost-risk trade-off is likely to be unfavorable in politically stable nations that have free market systems.

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