Final answer:
A well-established, large U.S.-based MNE is not likely to encounter obstacles in maximizing firm value due to an open market, strategic management, or access to capital. The real challenges could stem from barriers like cultural conflicts after mergers or regulatory issues. Thus, none of the given options are probable hindrances. Therefore, the answer to the question would be D) None of the above
Step-by-step explanation:
A well-established, large U.S.-based Multinational Enterprise (MNE) will likely not be impeded in maximizing firm value by an open marketplace, high-quality strategic management, or access to capital.
Given that the firm is well-established and large, it likely has the resources and capability to flourish in an open market environment, has the expertise to implement strategic management, and possesses sufficient collateral to secure access to capital.
However, unique obstacles can still emerge for MNEs such as barriers to entry in foreign markets, government regulations, and the potential for global market volatility.
Additionally, while the U.S. government approves most proposed mergers and allows firms extensive freedom in the market, unexpected challenges such as cultural clashes post-merger can still occur, which might diminish a firm’s efficiency or detract from its market value.
Notably, the lack of competition in a monopoly could discourage innovation and create inefficiencies, contrary to enhancing firm value.
Therefore, the answer to the question would be D) None of the above, assuming that the MNE already possesses open market access, strategic management capability, and access to capital. Therefore, the answer to the question would be D) None of the above