Why is the agency problem more pronounced for multinational corporations?   Check all that apply:   MNCs are often larger than purely domestic companies.   There are no international laws to prevent agency problems.   Monitoring managers in foreign countries is more difficult.   Managers raised in different cultures may have different goals and values.

International Financial Management
14th Edition
ISBN:9780357130698
Author:Madura
Publisher:Madura
Chapter1: Multinational Financial Management: An Overview
Section: Chapter Questions
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Why is the agency problem more pronounced for multinational corporations?

 

Check all that apply:

 

MNCs are often larger than purely domestic companies.

 

There are no international laws to prevent agency problems.

 

Monitoring managers in foreign countries is more difficult.

 

Managers raised in different cultures may have different goals and values.

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