BUS 303 EXAM QUESTIONS WITH 100% VERIFIED ANSWERS

BUS 303 EXAM QUESTIONS WITH 100% VERIFIED ANSWERS conditions that would suggest making a greenfield FDI instead of an acquisition - best for technology intensive firms(protects intellectual property) - if you want purpose-designd, state of the are facilities - common in developing countries - if their is no need for a rush conflict materials - tin, tantalum, tungsten and gold originating from the congo. these resources aid in the fighting, war and violence in these regions because people profit off of the so much conglomerate merger - when two companies merge together and have no relationship to each other at all Dunning's OLI framework - Ownership adv- competitive advantages of enterprises seeking to engage in FDI Local Advantages- existence of raw materials , low wages and special taxes and tariffs Internationalization advant- advantages by own production rather than producing through a partner agreement such as a joint venture exporting costs and benefits - low risk, low ownership and it is hard to export services FDI spillover - when foreign investments by Multinational companies stimulate the transfer of technology and management skills and contribute to the development of local companies fords world car - development of the ford car on multiple platforms and could make multiple cars from the same collection of parts around the world Foreign Direct Investment (FDI) costs and benefits - gives you more control over operations, can sell services but it has a higher risk global account management - treating a customers operations worldwide as one integrated account, with coherent terms for pricing, product specifications and service. usually used greenfield - when a company starts a completely new company in a foreign country from the ground up. including new facilities and machinery - best for global strategy - higher risk preferred by host governments (they give incentives)