A developing country in South America offers your firm a construction subsidy if you build your new plant there.This is an example of
A) an economic challenge for international managers.
B) a control on international trade.
C) a mature infrastructure.
D) a bribe.
E) an incentive for international trade.

Question

Quizplus · Accepted Answer

The offer of a construction subsidy is an incentive for international trade, as it encourages the firm to build their new plant in the developing country in South America. This can help to increase economic development and growth in the country, as well as providing benefits for the firm itself. However, it may also present economic challenges for international managers, particularly in terms of navigating different regulations and cultural differences. It is important for companies to carefully consider the potential benefits and risks of accepting such incentives.

A Developing Country in South America Offers Your Firm a Construction