Asked by Stephine Browning on May 10, 2024
Verified
A foreign subsidiary represents the lowest level of involvement in international operations.
Foreign Subsidiary
A company that is owned or controlled by another company but is located in a different country.
International Operations
Business activities and transactions conducted across national borders, involving the management of international resources, markets, and logistics.
- Comprehend the principle and consequences of overseas subsidiaries within the context of global commerce.
Verified Answer
AS
ashley serpasMay 13, 2024
Final Answer :
False
Explanation :
A foreign subsidiary represents a higher level of involvement in international operations compared to other options such as exporting or licensing. It involves setting up a separate legal entity in a foreign country, which is partially or wholly owned by the parent company. This allows for greater control over the operations and the ability to tailor products and services to the local market.
Learning Objectives
- Comprehend the principle and consequences of overseas subsidiaries within the context of global commerce.
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