PriemCrest, an oral care company in the country of Holtmont, bought an oral care company called SerenCrest in the country of Hofstadden. This scenario is an example of _____.

Question

Quizplus · Accepted Answer

This scenario is an example of direct foreign investment because PriemCrest has purchased another company in another country, Hofstadden. Strategic alliance would be a partnership between two companies while joint venture is a type of partnership in which both companies contribute resources to create a new entity. Direct export would involve selling products to another country without investing in the local market.

PriemCrest, an Oral Care Company in the Country of Holtmont