"Many Western firms that sold oil-refining technology to firms in Gulf states now find themselves competing with these firms in the world oil market. This is an example of A. The firm entering into a turnkey project with a foreign enterprise, inadvertently creating a competitor B. The firm entering into a turnkey deal having no long-term interest in the foreign country C. The country subsequently proving to be a major market for the output of the process that has been exported D. Selling the firm's process technology through a turnkey project which is also selling competitive advantage to potential competitors"

A. The firm entering into a turnkey project with a foreign enterprise, inadvertently creating a competitor.

Explanation:

A TurnKey project is one where the constructor initiates and completes the entire project. That means they handle the design, the construction, the furnishing and etc so that they can give the project to the buyer in working condition.

By getting into such Projects with firms in Gulf states, Western firms created competitors because they essentially sold their competitive advantage away as well. Now those firms are just as proficient in producing as they are thus giving them competition.

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