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Unformatted text preview: When utilizing an ownership test, the following analysis is key. When owning in Ireland, a firm could potentially have a huge market into Europe, and therefore a firm operating in Ireland would be a good idea. However, a Chinese firm for example, would probably not want to expand into Ireland. These reasons lie because the fact that cheaper labor and better talent is available at their home location. Thus, a firm from China would not want to expand to Ireland because the costs would be greater than the benefits. And ownership would probably not open any new markets not previously available. Thus a firm from China probably would not want to expand into Ireland....
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This note was uploaded on 04/24/2008 for the course BUAD 100x taught by Professor Gilligan during the Spring '08 term at USC.
- Spring '08