FINC 321 Study Guide - Quiz Guide: Product Lifecycle, Franchising
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Quiz 1: with regard to corporate goals, an mnc is mostly concerned with maximizing ____, and a purely domestic firm is mostly concerned with maximizing ____. Answer: product cycle theory: licensing is the process by which a firm provides its technology (copyrights, patents, trademarks, or trade names) in exchange for fees or some other specified benefits. Answer: true: franchising is the process by which national governments sell state owned operations to corporations and other investors. Answer: purchasing existing companies in a country: according to the textbook, a disadvantage of licensing is that: Answer: none of these: licensing obligates a firm to provide ____, while franchising obligates a firm to provide. Answer: its technology; a specialized sales or service strategy: assume that an american firm wants to engage in international business without major investment in the foreign country. Answer: direct foreign investment (dfi: the mnc"s value depends on all of the following, except:
