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A.Foreign Direct Investment (FDI) is one of the riskiest forms of international investing. Describe a framework which describes why MNEs choose this FDI rather than alternative models.
B. Explain the fundamental dilemma of international trade and describe the system that has evolved to protect both importer and exporter.
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- Imagine that Sony is having difficulty selling Playstations in Greece because of differences in local tastes. It decides to build a subsidiary in Greece. This is an example of a _______________ motive for foreign direct investment. A. cost factor B. backward integration C. country risk D. demand factorA. Countries that export a diversified selection of export products do not seem to be at much risk of experiencing immiserizing growth. Group starts. 1. True or 2.False B. Immiserizing growth is the situation in which the expansion of a country's exporting industry results in an increase in the world price of the exported good and a decrease in the economic well-being of the country. 1. True or 2.False C. According to the Rybczynski theorem, in a two-good world, with constant product prices, growth in a country's endowment of any one input results in an increase in the production of the good which does not use this input intensively. 1. True or 2.False D.Any change in the volume of export or import by a small country will have no effect on its terms of trade. 1. True or 2.FalseForeign Direct Investment results in the following benefits: Select one: a. Higher productivity b. Increase the economy’s stock of capital c. Tax efficiency d. Increase the economy’s stock of capital AND Higher productivity
- List and explain the main factors considered in international investing, and suggest ways or approaches in which these factors can be managed or mitigated.In the specific factors model, trade () the factor that is specific to the export sector of each country, ( ) the factor specific to the import-competing sectors, with ( ) effects on mobile factors. A. benefits, hurts, ambiguous B. benefits, hurts, unambiguous C. hurts, benefits, ambiguous. D. hurts, benefits, unambiguous E. benefits, benefits, ambiguousFrom the list below, choose two examples of products that are traded on international markets for which there are dynamic increasing returns. (Mark all that apply.) A. Aircraft design B. Biotechnology C. Clothing and apparel D. Mining and minerals E. Agriculture In each of the above examples, "learning-by-doing" is important to the dynamic increasing returns in the industry. Using the 3-point curved line drawing tool, draw a learning curve that shows the benefits of "learning-by-doing." Label it 'L'. Carefully follow the instructions above and only draw the required object. C 0 Unit Cost Cumulative Output
- Foreign Direct Investment results in the following benefits: Select one: a. State of the art technologies b. Increase the economy's stock of сapital c. Increase the economy's stock of capital, Higher productivity, and State of the art technologies d. None of the answers are correct e. Higher productivity12 The transnationality index reflects the number of foreign countries in which a multinational firm is involved a. True b. FalseWhich of the following statements is the most correct? a. The regulation of foreign investment is outside the responsibility of the WTO, and a separate multilateral treaty is in place to regulate and protect the rights of foreign investors and their investments b. Regional economic integration is unlikely to be a vehicle for multilateralising the legal protection of foreign investment c. Bilateral investment treaties do not cover matters related to the protection of the environment d. Once admitted to invest in the territory of a host State, investors must comply with local laws and regulations e. It is typical that a bilateral investment treaty would include provision for disputes between investors and the host State to be submitted to the host State's domestic courts.
- Define and explain culture, and how it affects the conduct of international business. Please make answer unique and not plagiari) zedQ1. Discuss the international driver framework and how Oman applied this framework in conducting its international business. Q2. Evaluate the environment of international business of Oman from economic perspective. Q3. Evaluate the environment of international business of Oman from social, cultural and political perspectives.What can a multi-national enterprise do to minimize its exposure to political risks in its host country? A. By threatening to cease all exports of its products to the host country B. By establishing more than one affiliate in the host country C. By equating its physical assets in the host country with its local borrowings D. By negotiating with the host country’s government to clear off its debts