There are three approaches when determining the financial structure of subsidiaries of multinational companies in different countries. They could conform to the parent company norm. They could conform to the local norm of the country where the subsidiary operates. They could try to capitalize on opportunities to lower taxes, reduce financing costs and risks, and take advantage of various market imperfections. What approach makes the most sense to you and why?

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The choice of approach when determining the financial structure of subsidiaries in different countries depends on various factors including the goals and priorities of the multinational company the ch... View the full answer