Which of these is not generally characteristic of multinational corporations?

A) They conduct business across national borders.
B) They buy materials and manufacture goods wherever it is cheapest.
C) They have executives from each country in which they conduct business.
D) They sell their products wherever they can make the highest profits.

Question

Erika Miranda · Accepted Answer

Final Answer : C, Explanation :  While multinational corporations do conduct business across national borders, look for cost-efficient sourcing of materials and manufacture goods wherever it is cheapest, and sell products wherever there are opportunities for high profits, it is not necessarily true that they have executives from each country in which they do business. Some may have a centralized leadership team based in one country while also having staff in other countries.

Definitions

Learning Objectives

Learning Objectives

Related questions