Which of the following statements is true of a company that is in the second stage of global business?
A)It maintains a virtual executive suite.
B)It sets up foreign subsidiaries to handle sales in one country.
C)It runs business entirely through the Internet.
D)It has its entire operations in its home country.

Question

Which of the following statements is true of a company that is in the second stage of global business?
A)​It maintains a virtual executive suite. 
B)It sets up foreign subsidiaries to handle sales in one country.
C)It runs business entirely through the Internet.
D)​It has its entire operations in its home country.

Quizplus · Accepted Answer

In the second stage of global business, companies typically set up foreign subsidiaries to handle sales in one or more countries, in addition to their operations in their home country. Maintaining a virtual executive suite or running business entirely through the internet are more common in later stages of global business. Having its entire operations in its home country would not qualify as a global business.

Which of the Following Statements Is True of a Company