Question

Turnkey projects are most common in the following industries:

A.

chemical, pharmaceutical, petroleum refining, and metal refining.

B.

textiles, shoes, leather products, and linens.

C.

cars, trucks, construction equipment, and farm implements.

D.

lumber, furniture, paper, and pulp.

1 points   

QUESTION 25

When a firm builds a plant in a country—or supplies technology, equipment, training, or other services to the country—and agrees to take a certain percentage of the plant’s output as partial payment for the contract, it is called:

A.

counterpurchase.

B.

offset.

C.

switch trading.

D.

buyback.

1 points   

QUESTION 26

Location economies are important because locating in an optimal location can:

A.

lower costs only.

B.

increase value only.

C.

lower costs and increase value.

D.

cause competitors to move in.

1 points   

QUESTION 27

When cost pressures are low and the pressures for local responsiveness are high a(n) _____ strategy is the most appropriate.

A.

multidomestic

B.

global

C.

transnational

D.

international

Answer 1

24. The correct option is A

The Turkey projects are most typical in companies that specialize in expensive and complex production technologies like chemical, pharmaceutical ,petroleum refining and metal refining

25. The correct option is D

Buy back is also called a compensation

26. The correct option is C

Location economies are important because locating an optimal location can increase value and support higher pricing

27. The correct option is D

When cost pressures are low and the pressure for local responses are high the a(n) international strategy is most appropriate