Why can a company more easily pursue a global strategy when it owns 100 percent of foreign operations?
A) The company is not likely to face overcapacity issues.
B) The company limits foreign exchange rates fluctuations.
C) The company avoids communication misunderstandings.
D) The company can sub-optimize results in one country in order to optimize results globally.

Question

Quizplus · Accepted Answer

When a company owns 100 percent of its foreign operations, it has full control over decision-making and can strategically manage resources and operations across different countries to optimize overall global performance, even if it means sub-optimizing in individual countries.

Why Can a Company More Easily Pursue a Global Strategy