Which of the Following Is NOT a Potential Challenge for Global

question 18

Multiple Choice

Which of the following is NOT a potential challenge for global sourcing?:

• A)Long delivery lead times
• B)Costs involved in selecting foreign suppliers
• C)Relaxed trade barriers
• D)Labor and legal problems

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Definitions:

Transfer Price

The cost applied to products or services exchanged between units or affiliates within the same corporation.

Variable Expenses

Costs that change in proportion to the activity or volume of production in a business.

Selling Costs

Expenses incurred directly from the sale of a product or service, including marketing, advertising, and sales personnel expenses.

Maximum Price

The highest price that can be charged for a product or service, possibly regulated by law or market conditions.