What is international strategy? Discuss the risks and challenges associated with an international strategy.
What will be an ideal response?
International strategy is a strategy based on the company diffusion and adaptation of the parent company knowledge and expertise to foreign markets; it is used in industries where the pressures for both local adaptation and lowering costs are low. Different activities in the value chain typically have different optimal locations. That is, R&D may be optimally located in a country with an abundant supply of scientists and engineers, whereas assembly may be better conducted in a low-cost location. The international strategy, with its tendency to concentrate most of its activities in one location, fails to take advantage of the benefits of an optimally distributed value chain. The lack of local responsiveness may result in the alienation of local customers. Worse still, the company's inability to be receptive to new ideas and innovation from its foreign subsidiaries may lead to missed opportunities.
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A) maturity value of the bonds to the accrued interest. B) maturity value of the bonds to the present value of the interest payments. C) present value of the principal to the accrued interest. D) present value of the principal to the present value of the interest payments.
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Indicate whether the statement is true or false.
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Answer the following statement true (T) or false (F)