Identify a true statement about global trade.
A)It increases a firm's dependence on its domestic economy.
B)It offers companies an invaluable source of new ideas.
C)It increases the economic risk of multinational companies.
D)It reduces a firm's opportunity to tap into growing new markets.

Question

Quizplus · Accepted Answer

Global trade allows companies to access new markets, which can expose them to new ideas and technologies. Option A is false because global trade reduces a firm's dependence on its domestic economy. Option C is partially true but not a complete statement as trade can also reduce economic risk by spreading it over different markets. Option D is false as global trade opens up new market opportunities.

Identify a True Statement About Global Trade