Which of the following best describes an MNC's global operations?

Study for the Arizona State University MGT302 International Business Exam. Prepare with flashcards and multiple choice questions, featuring hints and explanations for each. Get exam-ready with ease!

An MNC, or multinational corporation, is characterized by its operations that span multiple countries concurrently. This includes engaging in various business activities such as manufacturing, marketing, and sales across international borders. The essence of a multinational corporation lies in its ability to leverage resources, optimize production, and serve various markets worldwide.

By operating in multiple countries simultaneously, MNCs can gain access to diverse markets, spread risk, and benefit from local competitive advantages. This strategy allows them to be more flexible and responsive to changes in international markets while also benefiting from economies of scale.

In contrast, the other options describe limitations that do not align with the nature of multinational corporations. Concentration in one country implies a lack of global engagement, limited to exports suggests operational constraints only to trade without local presence, and involvement in domestic trades only excludes the international dimension that is fundamental to MNCs. Thus, operating in multiple countries at once encapsulates the defining feature of multinational corporations.

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