All of the Following Are Risks Associated with a Global

question 8

Multiple Choice

All of the following are risks associated with a global strategy, except

• A) a firm with only one manufacturing location must export its product-some of which may be a great distance from the operation.
• B) the geographic concentration of any activity may also tend to isolate that activity from the targeted markets.
• C) concentrating an activity in a single location makes the rest of the firm dependent on that location.
• D) the pressures for local adaptation may elevate the firm's cost structure.

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Definitions:

Salvage Company

A business specializing in salvaging materials from discarded or damaged products, often recycling them for future use.

Defective Units

Products that fail to meet quality standards and are either scrapped or reworked depending on the severity of the defect.