which of the following is not a feature of global enterprise
a. it attempts to maximise profits world over
b. it is of huge size and has control over large assets
c. its operations are spread out in several countries
d. it operates on a small scale
Answers
Answer:
Explanation:
A global enterprise or a multi-national company is a commercial enterprise which has its business operations in two or more countries.
Important features of MNCs are:
Wide area of operations: MNCs usually have a wider area of operations spread across two or more countries.
Control: MNCs have a centralised control over its subsidiaries or branches. Usually all decisions are taken from the headquarters located at the host country.
Advanced Technology: MNCs use advanced and sophisticated technology in their production process.
Huge wealth: MNCs have huge physical and financial assets. It keeps on increasing with increase in network of operations.
Efficient management: MNCs have expert and skillful employees in their teams which help in efficient management.
Delegation of power: Appropriate delegation of power is given to fulfill the needs of the host country.
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Answer:
It operated on a small-scale, Option (d).
Explanation:
Global enterprise:
Those enterprises which have their headquarters in one country but operate their business in many countries are called Global enterprise
They are also called Multinational companies or Transnational corporations. For example Adidas, Hyundai, Nike, and so on.
Features :
- Giant size
- Operations in several countries
- Centralized Control
- Professional Management
- Sophisticated Technology
Therefore option (d) is the answer to the question
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