When a diversity exists between countries with regard to currency, inflation, interest rates, accounting practices, cultures, social custom, business practices, laws, government regulations, and political stability, the international firm must adapt. This is called adapting to
A) operational dynamics.
B) social dynamics.
C) environmental dynamics.
D) cultural systems.

Question

Quizplus · Accepted Answer

Adapting to the diversity between countries in terms of currency, inflation, interest rates, accounting practices, cultures, social customs, business practices, laws, government regulations, and political stability is referred to as adapting to environmental dynamics. International firms must be able to adjust to these various environmental factors to successfully operate in different countries.

When a Diversity Exists Between Countries with Regard to Currency