True/False: 10 Questions: Please indicate whether the below statements are true or false according to the readings and class discussions. Write the entire word TRUE or FALSE to indicate your answer. 1.) country in which it does business, a multinational company can realize substantial scale economies. By offering a standardized product to the global marketplace and manufacturing that product in each 2.) One assumption of agency theory is that the principal has more information about the resources that are being managed than the agents do. 3.) One benefit of horizontal integration is the ability to leverage competencies. complete meal. This is an example of related diversification. At McDonalds, multiple items such as a cheeseburger, fries, and a drink are combined together to create a 4.) 5.) Acquisitions can generally be executed far more quickly than internal new ventures. 6.) A company may create value if it can leverage the capabilities created within subsidiaries and apply then to other operations within the firm's global network. 7.) The takeover constraint refers to a drop in the price of a share of stock due to a rumored takeover of the company 3.) A transnational strategy makes the most sense when demand for local responsiveness is minimal. One benefit of licensing internationally is the ability to engage in global strategic coordination. 0.) Nucor has built highly specialized skills that create a source of competitive advantage in producing s but these skills have limited application outside of the steel industry. Based on this information, Nuc should not pursue related diversification