1. All of the allowing are ways that a multinational corporation can minimize the impact of political risk EXCEPT:
- Using local financing. Purchasing country risk insurance.
- Paying off government officials.
- All of these are ways that a multinational corporation can minimize the impact of political risk.
2. When Starbucks opens a location in Mexico City, this is an example of:
- Foreign direct investment.
- Arbitrage opportunity.
- Management of capital budgeting issues.
- None of these.
1. Paying off government officials.
2. Foreign Direct Investment.