Managers Need to Understand the Concept of Derived Demand, Particularly

question 92

True/False

Managers need to understand the concept of derived demand, particularly when they are selling capital equipment and big-ticket industrial services.

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Definitions:

Protectionism

A government policy aimed at restricting international trade to protect domestic industries from foreign competition by imposing tariffs or quotas on imports.

Outsourcing of Jobs

The practice of hiring external firms or individuals to perform tasks, handle operations or provide services that are either difficult to manage or are outside the company's core competencies.

Economic Integration

The process by which different countries reduce or eliminate barriers to trade and movement of resources among them to create a more unified and efficient market.

Quota

A restriction placed on the amount of a product allowed to enter or leave a country.