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Intel Produces Microchips in China and Costa Rica Using Subsidiaries

Question 3

Multiple Choice

Intel produces microchips in China and Costa Rica using subsidiaries that it owns. Mattel, in contrast, contracts with firms in several different countries to produce the Barbie doll, which it then imports to the United States. Which of the following statements about the two companies is correct?


A) Intel is involved in foreign offshoring and Mattel is involved in foreign outsourcing.
B) Intel and Mattel are both involved in foreign outsourcing.
C) Intel and Mattel are both involved in foreign offshoring.
D) Intel is involved in foreign outsourcing, and Mattel is involved in foreign offshoring.

Correct Answer:

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