Which statement reflects Knickerbocker's theory? Multiple Choice O When a firm that is part of an oligopolistic in ustry expands into a foreign market, other firms in the industry will be compelled to make similar investments. When a firm has valuable know-how that cannot be adequately protected by a licensing contract, it engages in FDI. By placing tariffs on imported goods, governments indirectly increase the cost of exporting relative to foreign direct investment and licensing., When a firm's skills and know-how are not amenable to licensing, it usually prefers the FDI route