Question

Within the same country, some foreign businesses may fall prey to politically induced harassment, while others may be placed under a government umbrella of protection and preferential treatment. What explains this difference?

A. The level of domestication achieved.
B. The host nation's relations with the business' home country.
C. The cultural differences between the host nation and the business' home country.
D. The amount of funds invested in the business.
E. The evaluation of a company's contribution to the nation's interest.

Answer 1

Foreign businesses are subject to varying degrees of support or harassment due to multiple factors, including domestic integration, diplomatic relations, cultural differences, investment levels, and perceived contributions to national interests.

Step-by-step explanation:

The difference in how foreign businesses are treated within the same country can often be explained by a variety of factors, including the level of domestication achieved by the business, the host nation's relations with the business' home country, cultural differences, the amount of funds invested, and the evaluation of the company's contribution to the nation's interest. Governments are motivated by a range of concerns, including environmental standards, economic dependency, and national security, which can lead to differential treatment of foreign enterprises. These considerations also shape policy conclusions regarding the restriction of imports and the protection of domestic industries and jobs.