The commonly accepted goal of an MNC is to:
A) maximize short-term earnings.
B) maximize shareholder wealth.
C) minimize risk.
D) maximize short-term earnings AND minimize risk.
E) maximize international sales.

Question

Quizplus · Accepted Answer

The commonly accepted goal of a Multinational Corporation is to maximize shareholder wealth. This means that the company focuses on generating profits and increasing the value of its stocks for its shareholders. Maximizing short-term earnings or international sales might bring in profits in the short-term, but shareholders prioritize the long-term growth of the company. Similarly, minimizing risk is important, but not the primary goal.

The Commonly Accepted Goal of an MNC Is To