When a firm has international operations, choosing the most appropriate structure depends upon the extent of international expansion, the type of strategy, and the degree of product diversity. True or False?

True

Explanation:

When a firm has international operations it should choose the most appropriate structure based on the following factors:

extent of international expansion: into how many international regions do we plan to expand our activities. the type of strategy: the have to choose between global, multidomestic or international strategy the degree of product diversity: on how many additional markets will our products compete? regionally or globally

Although 1 and 3 may be similar, there can be significant differences. For example, a US company may want to start selling their products in all of South America (regional product diversity), but it will do it by setting a South American office in Brazil only (international expansion is limited to Brazil only).