1342_IM_Word_docsM18_EITE1342_12E_IM_C18课件.docVIP

Chapter 18Foreign Direct Investment Theoryand Political Risk (Questions 18-1. Evolving into Multinationalism. As a firm evolves from a purely domestic into a true multinational enterprise, it must consider (a) its competitive advantages, (b) its production location, (c) the type of control it wants to have over any foreign operations, and (d) how much monetary capital to invest abroad. Explain how each of these considerations is important to the success of foreign operations. If a firm lacks sufficient competitive advantage to compete effectively in its home market, it is unlikely to have s