The Problem with Setting a Uniform Global Price for a Product

question 67

Multiple Choice

The problem with setting a uniform global price for a product is that ________.

• A) it allows intermediaries in low-price countries to reship their products to high-price countries
• B) the company would earn the same profits everywhere, regardless of the cost structure
• C) this strategy can price the product out of the market in countries where costs are high
• D) this strategy makes the price too high in poor countries and not high enough in rich countries
• E) it is ineffective for products that are homogeneous

---

Definitions:

Distribution

The process of sharing something among a number of recipients, or the way in which something is spread or allocated across a group or area.

Sharing of Power

The distribution of control, authority, or influence among multiple parties or individuals.

Leadership Effectiveness

The degree to which a leader achieves the desired outcomes or goals through their influence and direction.

Leadership Situation

The context or environment in which leadership occurs, including the tasks, challenges, relationships, and cultural factors that influence leadership processes and effectiveness.