Which of the following is a typical advantage of wholly owned subsidiaries?
A) Strong managerial control
B) Relatively low risks
C) Supported by local partners
D) Favored by local governments

Question

Quizplus · Accepted Answer

Wholly owned subsidiaries allow for strong managerial control as the parent company has full ownership and can make all decisions without the input of local partners or investors. This can lead to more efficient operations and easier implementation of the parent company's strategy. While there may be other benefits to wholly owned subsidiaries, such as avoiding shared profits with local partners or being favored by local governments, these are not always typical advantages and may not apply in all situations. Therefore, option A is the best choice.

Which of the Following Is a Typical Advantage of Wholly