Which term describes a company that does business in more than one country?

• A. Multinational Corporation
• B. Corporation
• C. Franchise
• D. Partnership

Answer: (A)

The key idea is identifying a business that operates across borders. A multinational corporation is a company that has significant operations—such as production, sales, or subsidiaries—in multiple countries, not just one. This distinguishes it from firms that are purely domestic, which operate in a single country only.

Other terms describe different aspects of business. A corporation is a general legal form that can be domestic or multinational, so it doesn’t by itself imply international activity. A franchise is a business model where someone buys the right to operate a branded business in a location; it can spread across countries, but the term points to the expansion method rather than the fact of operating internationally. A partnership is a business owned by two or more individuals and can be domestic or international, but it doesn’t inherently indicate multinational activity.

So the term that best captures a company doing business in more than one country is multinational corporation.