Question

According to the text, economic analyses became more difficult when a firm entered overseas markets because, unlike the situation for a company operating domestically

A. Management must operate in two new environments, foreign and international.
B. Economists know less about foreign exchange rates.
C. Analysts must now forecast the values for both socioeconomic and economic variables.

Answer 1

The correct answer is A. Management must operate in two new environments, foreign and international.

Step-by-step explanation:

It is more difficult to assess the unknown environment. When the company belongs to a country, it is easier for her to study market behavior because it has information at her fingertips. On the other hand, international markets require more adaptation time to assess the internal impact of making investments.