Eurenasia is a country that has frequently been assigned low macro-assessment ratings of country risk in the recent past due to its tendency to war with neighboring nations. MNC A is considering the establishment of a subsidiary to manufacture personal computers, while MNC B is considering the establishment of a subsidiary to manufacture tanks. Which of the two MNCs is likely to be less affected by the low macro-assessment?

Question

Quizplus · Accepted Answer

MNC B, which manufactures tanks, is likely to be less affected by the low macro-assessment because its product is directly related to the defense sector, which may be in demand in a country with frequent wars.

Eurenasia Is a Country That Has Frequently Been Assigned Low