Final Answer:
The primary goal of a multinational corporation (MNC) is indeed the maximization of shareholder wealth, so the correct option is a. true.
Step-by-step explanation:
To achieve this, the MNC aims to increase its profits, expand its market share, enhance its competitive edge, and grow sustainably, all while managing risks effectively.
These efforts should lead to a rise in the company's stock price, which is a direct reflection of shareholder wealth.
The rationale behind focusing on shareholder wealth maximization is rooted in the concept that the shareholders are the owners of the company, and therefore, the company should be managed in their best interests.
This approach aligns the interests of the managers, who are responsible for day-to-day operations, with those of the shareholders.
When a company successfully maximizes shareholder wealth, it signals to current and potential investors that the company is healthy, profitable, and worth investing in, thus attracting more capital and support for future growth and operations, so the correct option is a. true.