All of the Following Are Potential Advantages to Initiating, Continuing

question 10

Multiple Choice

All of the following are potential advantages to initiating, continuing, and/or expanding international operations EXCEPT

• A) firms can gain new customers for their products.
• B) foreign operations can absorb excess capacity, reduce unit costs, and spread economic risks over a wider number of markets.
• C) foreign operations can allow firms to establish low-cost production facilities in locations close to raw materials and/or cheap labor.
• D) foreign operations could be seized by nationalistic factions.
• E) foreign operations may result in reduced tariffs, lower taxes, and favorable political treatment.

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Definitions:

Variables

Elements, features, or factors that are likely to vary or change among subjects in a study or model.

Analysis

The process of examining data or information in order to understand its components, identify relationships, and evaluate patterns.

Insignificant Variables

Variables in a statistical model that do not have a significant impact on the model's ability to predict or describe the outcome.

Variables

Any characteristic, number, or quantity that can be measured or quantified, which changes or varies across different situations or observations.