The most effective solution to a situation where a foreign government is demanding local participation in a multinational corporation's business activities in the host country is:
A) joint ventures.
B) licensing.
C) expanding the investment base.
D) planned domestication.
E) political payoffs.

Question

Quizplus · Accepted Answer

In those cases in which a host country is demanding local participation, the most effective long-range solution is planned phasing out, that is, planned domestication.

The Most Effective Solution to a Situation Where a Foreign