Which of the Following Is NOT a Reason Why Companies

question 46

Multiple Choice

Which of the following is NOT a reason why companies move into international operations?

• A) To develop new markets for the firm's products.
• B) To better serve their primary customers.
• C) Because important raw materials are located abroad.
• D) To increase their inventory levels.
• E) To take advantage of lower production costs in regions where labor costs are relatively low.

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Definitions:

Availability Heuristic

A mental shortcut that relies on immediate examples that come to a person’s mind when evaluating a specific topic or decision.

Explicit Bias

Prejudice or favoritism toward a group or individual that is consciously identified and directly expressed by an individual.

Just-World Phenomenon

The cognitive bias to believe that the world is inherently fair, causing people to rationalize an unfortunate situation as deserved by the victim.

Ingroup Bias

The tendency to favor members of one's own group over those in other groups in terms of preference, trust, and favoritism.