Which of the Following Statements Is True About Transnational Strategy

question 20

Multiple Choice

Which of the following statements is true about transnational strategy?

• A) It gives little emphasis to cost reduction and achieving scale economies.
• B) It makes little sense when the pressures for local responsiveness are intense.
• C) It is an easy one to pursue because it places minimal demands on the company.
• D) It fosters a flow of resources such as process knowledge between different subsidiaries in the company's global network of operations.
• E) It is adopted by companies that produce standardized goods that do not require product differentiation.

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Definitions:

LIFO

"Last In, First Out" is an inventory valuation method where the last items placed in inventory are the first ones to be used or sold.

Ending Inventory

The financial value of items up for sale at the end of a fiscal period.

Lower of Cost or Market

An accounting principle requiring companies to value and report their inventory at the lower of the original cost or its current market price.

Inventory Item

An individual product or article that is held in stock by a business for the purpose of resale or production.