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Global growth is always profitable. Once you have acquired global users, you can always make money from them.

A) True
B) False

User Renatus
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1 Answer

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Final answer:

The assertion that global growth always leads to profitability is B) false, as various factors like cultural differences and regulatory environments can impact profit. Business mergers and international trade can have both positive and negative effects.

Step-by-step explanation:

The statement 'Global growth is always profitable.

Once you have acquired global users, you can always make money from them.' is B) false.

While global expansion has the potential to increase profitability, it does not guarantee profits.

Factors such as cultural differences, local competition, regulatory environments, and operational costs can affect the success of a global venture.

Businesses can grow by reinvesting profits into expansion, but this involves careful planning and strategy.

Moreover, mergers can have positive or negative outcomes depending on how well the combined entities manage their resources and market presence.

In terms of international trade, while consumers may benefit from better or less expensive products and businesses may see increased profits, these benefits are not universal and losses can occur.

As to whether international trade gains are more important to large or small countries, it's often seen that smaller economies may benefit more relative to their size, as they can specialize in certain industries where they have a competitive advantage.

User Redben
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