One argument for why subsidiaries should be allowed to


One argument for why subsidiaries should be allowed to issue their own stock is that: a. it prevents a potential conflict of interests between the MNC's managers and shareholders. b. it prevents a potential conflict of interests between the MNC's majority shareholders and minority shareholders. c. it prevents a potential conflict of interests between the MNC's existing creditors. d. having local investors as minority shareholders may offer some protection against adverse actions by the local government.

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Financial Management: One argument for why subsidiaries should be allowed to
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