Which statement best describes a feature of multinational companies?

Which statement best describes a feature of multinational companies?

• A. Very inefficient and small-scale production
• B. Limited advertising and marketing capability
• C. Huge assets and turnover; well-resourced management
• D. Lack of up-to-date technology

Answer: (C)

Multinational companies operate on a large, global scale, which gives them access to substantial capital, a wide asset base, and the ability to generate very high sales (turnover). They also need well-resourced management teams to coordinate production, finance, marketing, and operations across many countries, ensuring efficiency and consistent brand and strategy worldwide. This combination—massive assets, high turnover, and strong, capable management—is what sets multinationals apart from smaller or less developed firms. The other descriptions don’t fit because multinational firms typically strive for efficiency through large-scale production and extensive marketing networks, not inefficiency or limited advertising. They also invest heavily in technology and innovation, rather than lacking up-to-date technology.

Multinational companies operate on a large, global scale, which gives them access to substantial capital, a wide asset base, and the ability to generate very high sales (turnover). They also need well-resourced management teams to coordinate production, finance, marketing, and operations across many countries, ensuring efficiency and consistent brand and strategy worldwide. This combination—massive assets, high turnover, and strong, capable management—is what sets multinationals apart from smaller or less developed firms.

The other descriptions don’t fit because multinational firms typically strive for efficiency through large-scale production and extensive marketing networks, not inefficiency or limited advertising. They also invest heavily in technology and innovation, rather than lacking up-to-date technology.