In home replication strategy, knowledge flow is multi directional, while in transnational strategy, it is one-way. This statement is False.
The companies offer standardized products and exploit the parent companies knowledge through the world. Their key strategic capability basically is to transfer the home countries innovations worldwide.
An example can be taken from the German automotive industry, which uses a home replication strategy when entering new markets.
The businesses provide uniform products and make use of the parent firms' knowledge globally. Their primary strategic capability essentially consists of exporting domestic ideas to other countries.
The German auto sector, which employs a home replication strategy when entering new markets, serves as an illustration.
Hence, option B is correct.
To learn more about Strategy here
brainly.com/question/14286438
#SPJ4
I believe its B) the fourth and fifth
Answer:
Multiplier effect in the 4th round = 3.58
Explanation:
A change in aggregate demand can create a much greater impact in the equilibrium national income. This is known as the multiplier effect. This occurs when injections of new demand for goods and services into the circular flow of income creates further rounds of spending. For example, if the government spending was on building new affordable houses then the need for housing materials will create demand for wood, cement and other housing supplies. Thus, these businesses will see a rise in sales. Whilst they benefit through profits, their employees would benefit from wages and salaries. As their income rises, they will spend it in the economy, and so will the businesses from their profits. This additional rounds of spending is the multiplier effect.
If a 100 increase creates 33 for the second round, it is 33% (33/100 x 100) i.e. 100 x 33% = 33
This is proven since 33 x 33% = 10.89 in the third round.
Hence, the multiplier effect in the forth round = 10.89 x 33% = 3.58
