ces Spartan, Inc. is a U.S. MNC that wants to build a factory in Brazil that wil

Question

ces Spartan, Inc. is a U.S. MNC that wants to build a factory in Brazil that will produce products for Spartan concludes that it has 3 political risk factors and 2 financial risk factors Each risk factor is assigned a rating from 1 to 6 where 1 represents lowest risk and 6 represents highest risk. The ratings assigned to the 3 political risk factors are 4.6 and 1; the corresponding weights assigned to these 3 factors are 20%, 45% and 35%. The ratings assigned to the 2 financial risk factors are 3 and 5; the corresponding weights assigned to these 2 factors are 40% and 60%. The company assigns a weight of 55% and 45% to the political and financial risk ations the Latin American market. Using a variety of techniques, Time Run Astempt due 6 Minutes e Course vals categories, respectively. Calculate Spartan's weighted value for political risk 3.85 3.96 4.2 3.5

Explanation / Answer

Spartan's weighted value for political risk

ratings (A) weights(B) weighted value(A*B)

4 .20 .80

6 .45 2.70

1 .35 .35

3.85

ans 3.85

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