Which of the following conditions is most likely to act as a deterrent

QUESTION

Which of the following conditions is most likely to act as a deterrent for foreign firms willing to do business with former communist nations of East Europe and central Asia?

A. The high levels of economic development in these countries

B. The signs of growing unrest and totalitarian tendencies seen in these countries

C. A strong commitment to market-based economic systems seen in these countries

D. The collapse of communism in these countries

E. Low returns involved in doing business in these countries

ANSWER

B
Disturbing signs of growing unrest and totalitarian tendencies continue to be seen in several Eastern European and Central Asian states. Thus, the risks involved in doing business in such countries are high, but so may be the returns.