West Coast Unlimited Is a Wholesaler That Carries Close to 20

question 155

Short Answer

West Coast Unlimited is a wholesaler that carries close to 20 000 products. The company has close to 3000 suppliers and sells its products mostly to business and institutional customers. The company markets its products by relying mainly on sales promotion and advertising. Faced with increasing costs, the company is looking at various ways to reduce expenses. West Coast Unlimited's vice president feels that the company should shift one of its major distribution centers to a low-rent, low-tax area.
Which of the following, if true, would strengthen the vice president's argument?
West Coast Unlimited recently signed a long-term lease for the distribution center's current location.
The percentage decrease in taxes is higher than the percentage decrease in rent.
West Coast Unlimited's competitors are also capable of moving to the low-rent, low-tax area.
The political environment in the new area is stable, with no expected changes in tax policy.
Changes in the macroeconomic environment may reduce costs associated with the current location.

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Definitions:

CSR Programs

Corporate Social Responsibility (CSR) Programs are initiatives companies undertake to assess and take responsibility for their effects on environmental and social well-being.

Employee Volunteers

Workers who offer their time and skills, often through organized programs within their company, to support charitable causes or community projects.

News Media

Outlets and platforms that gather, report, and distribute news to the public, including newspapers, television, and online sources.

Employee Engagement

The extent to which employees feel passionate about their jobs, are committed to the organization, and put discretionary effort into their work.