As a business expansion director, Shana's goal is to scout potential locations for her company's planned expansion to other countries. There are many options, some of which include maintaining the business's head office in the United States. Other options send company representatives to foreign operations when necessary, or establishing separate operation facilities abroad and hiring locals as managers.
-Shana's company hopes to become a fully global corporation in the coming years.Which of the following would best indicate that the company is fully "global"?
A)exporting and importing
B)licensing
C)setting up a foreign subsidiary
D)franchising

Question

Quizplus · Accepted Answer

Setting up a foreign subsidiary involves establishing a separate operation facility abroad and hiring locals as managers. This would indicate a significant investment in a foreign market and a more integrated, localized business presence. Exporting and importing, licensing, and franchise agreements are all ways to do business internationally but do not necessarily make a company fully global.

As a Business Expansion Director, Shana's Goal Is to Scout