Examveda
Examveda

In order to have controlling interest in a foreign company

A. an investor must have at least 100 % interest in the foreign company

B. an investor must have at least 50% interest in the foreign company

C. an investor may hold a minority stake if the remaining ownership is widely dispersed

D. an investor must make all decisions at headquarters about the foreign company

Answer: Option C

Solution(By Examveda Team)

In order to have controlling interest in a foreign company an investor may hold a minority stake if the remaining ownership is widely dispersed. Working control is a situation wherein a minority shareholder or shareholders have enough voting power to influence or determine corporate policy.

This Question Belongs to Management >> Strategic Management

Join The Discussion

Related Questions on Strategic Management