1. In order to achieve and maintain a low cost structure emerging market multinationals will:

1. Base their operations in second tier cities
2. Use second hand equipment imported from the West
3. Fashion their own version of equipment used by Western companies
4. All of the above
5. (a) and (b) only

2. Emerging market multinationals may be defined as companies originating from emerging markets and while they are engaged in outward foreign direct investments they do not engage directly in value-added activities in foreign countries. True/False?

1. True
2. False

3. Emerging market multinationals possess many of the same firm specific advantages e.g. strong global brands, possessed by multinationals from the developed world. True/False?

1. True
2. False

4. To be successful,l developed country multinationals should see emerging markets as:

1. A large and growing middle class
2. Centers of innovation
3. A source of talent to produce goods that may be sold globally
4. All of the above
5. (a) and (c) only

5. Emerging market multinationals which capitalize on their experience in building products that are able to stand up to the harsh physical conditions found in emerging markets similar to their home market are termed:

1. Knowledge leveragers
2. Cost leaders
3. Niche customizers
4. Global brand builders