Azurapi Corporation plans to start marketing products worldwide. What forms of multinational business enterprise are available? What factors should influence the decision on the form to use?
Possibilities include the use of a wholly owned subsidiary, joint ventures, licensing to a foreign firm, the use of foreign agents, distributorships, and direct export sales. Factors in determining the form of business organization that would be best include financing, tax consequences, legal restrictions imposed by the host country, and the degree to which the MNE wishes to control the business.
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Stokan Products, Inc., has a Antennae Division that manufactures and sells a number of products, including a standard antennae that could be used by another division in the company, the Aircraft Products Division, in one of its products. Data concerning that antennae appear below: Capacity in units 86,000Selling price to outside customers$63Variable cost per unit$22Fixed cost per unit (based on capacity)$18?The Aircraft Products Division is currently purchasing 5,000 of these antennaes per year from an overseas supplier at a cost of $57 per antennae.?Assume that the Valve Division is selling all of the valves it can produce to outside customers. Also assume that $7 in variable expenses can be avoided on transfers within the company due to reduced shipping and selling costs. What
should be the minimum acceptable transfer price for the valves from the standpoint of the Valve Division? A. $57 per unit B. $63 per unit C. $56 per unit D. $33 per unit
The cumulative net income and loss not distributed as dividends to a corporation's shareholders is called ________.
What will be an ideal response?
In managing inventory, the problem is to balance the inventory investment with:
I. customer service. II. costs associated with changing production levels. III. costs of placing orders. IV. transportation costs. A) III and IV only B) II and III only C) I, II and III only D) II, III and IV only E) I, II, III, and IV
Geoadvertising sends ads to users based on their:
A) GPS locations. B) user addresses. C) shopping preferences. D) website behaviors. E) social media presence.