Which of the following is true of strategic commitments for an international firm considering foreign expansion?
A) They have a short-term impact.
B) They are frequently subject to change.
C) They fail to have a significant influence on business decisions.
D) They are difficult to reverse.
E) They are made on a day-to-day basis by employees at various levels in an organization.

Question

Quizplus · Accepted Answer

Strategic commitments for international firms considering foreign expansion are difficult to reverse due to the significant financial and organizational resources required to enter and establish a new market. Such commitments include investment in infrastructure, joint ventures, or long-term contracts with suppliers or distributors, making reversal costly and complex.

Which of the Following Is True of Strategic Commitments for an International