Which of the following requires that the firm actively involve nationals in the management of the subsidiary?

Question

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Participative management requires that the firm actively involve nationals in the management of the subsidiary. This approach emphasizes employee involvement, empowerment, and decision making, which helps to increase local expertise and commitment to the success of the subsidiary. Equity sharing and development assistance do not necessarily require active involvement of nationals in management, and localization of the operation may involve hiring locals but does not guarantee their involvement in management.

Which of the Following Requires That the Firm Actively Involve