Questions from International Business


Q: Microsoft’s effective tax rate on foreign earnings retained overseas appears to be

Microsoft’s effective tax rate on foreign earnings retained overseas appears to be only 4 percent. How is this possible given the corporate tax rate in most developed countries where Microsoft earns p...

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Q: Why does Microsoft continue to hold so much cash overseas, rather

Why does Microsoft continue to hold so much cash overseas, rather than returning it to the United States? What do you think are the opportunity costs of holding tens of billions of dollars in cash in...

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Q: During the Chávez years, many foreign multinationals exited Venezuela or reduced

During the Chávez years, many foreign multinationals exited Venezuela or reduced their exposure there. What do you think the impact of this has been on Venezuela? What needs to be done to reverse the...

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Q: Do you think it is ethical for companies like Microsoft to continue

Do you think it is ethical for companies like Microsoft to continue to hold cash overseas in order to avoid paying U.S. corporate income taxes? Is this practice always in the best interests of the com...

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