The decision to establish foreign manufacturing operations through direct investment or licensing depends on
A) the extent to which capital is used in the production process
B) the size of the foreign market
C) the amount of fixed cost a firm must bear when establishing an overseas facility
D) all of the above

Question

Quizplus · Accepted Answer

The decision to establish foreign manufacturing operations through direct investment or licensing depends on various factors such as the extent to which capital is used in the production process, the size of the foreign market, and the amount of fixed cost that a firm must bear when establishing an overseas facility. Therefore, all of the above factors should be considered when making the decision.

The Decision to Establish Foreign Manufacturing Operations Through Direct Investment