Small economies are sometimes less successful than large countries in attracting FDI by raising import restrictions. What is the most likely reason for this? Group of answer choices Large economies impose higher restrictions. People in small economies are more nationalistic in their purchases. Transportation costs are generally lower to small economies. Small economies frequently lack sufficient markets for large$-$scale production. Flag question: Question $15$ Question $154$ pts The self$-$handling of business activities abroad, as opposed to contracting the activities out for another company to perform, is known as $\_\_\_\_\_\_\_\_.$ Group of answer choices equity alliance internalization comprehensive ownership independencia Flag question: Question $16$ Question $164$ pts Internalization of foreign operations may lead to cost savings because $\_\_\_\_\_\_\_\_.$ Group of answer choices the elimination of the middleman reduces profits for that level companies can avoid the costs of enforcing an agreement companies can avoid spreading costs with other companies companies can avoid high start$-$up costs Flag question: Question $17$ Question $174$ pts Why can a company more easily pursue a global strategy when it owns $100$ percent of foreign operations than when it does not? Group of answer choices The company is not likely to face overcapacity. The company avoids communication misunderstandings due to a shared corporate culture. The company may be able to suboptimize performance in one country to improve total worldwide performance. The company does not have to concern itself with foreign exchange rates. Flag question: Question $18$ Question $184$ pts A company that makes a foreign investment largely to acquire knowledge is most likely to use $\_\_\_\_\_\_\_\_$ as a means of expansion. Group of answer choices internalization a licensing agreement a greenfield investment an acquisition Flag question: Question $19$ Question $194$ pts Which of the following factors, if present, would encourage a firm to start up a new operation rather than acquire an existing one in a foreign country? Group of answer choices Existing companies have goodwill and positive brand recognition in their market. Labor relations at existing firms are poor and are likely to be difficult to change. The country's currency is weak and stock market prices are depressed. The local government places restrictions on the transfer of foreign capital. Flag question: Question $20$ Question $204$ pts In which of the following situations would a company most likely seek a collaborative arrangement with a second company, in which the second company would handle work for the first company? Group of answer choices The first company has excess capacity. Fixed costs for the work are high and the first company has small volumes of work. Fixed costs for the work are high and the first company has large volumes of work. The first company is inexperienced in outsourcing work.