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

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Definitions:

Gender Identity

A person's personal sense of their own gender, which may or may not correspond with the sex they were assigned at birth.

Socialization

The process by which individuals learn and adopt the norms, values, and behaviors appropriate to their society or social group.

Theory of Evolution

A scientific explanation of how species change over time through mechanisms like natural selection and genetic variation.

Charles Darwin

A 19th-century British naturalist who developed the theory of natural selection, significantly contributing to the understanding of evolutionary biology.