Which One of the Following Statements Does Not Provide an Accurate

question 6

Multiple Choice

Which one of the following statements does not provide an accurate discussion of the three primary factors motivating companies to expand internationally?

• A) During the Industrial Revolution, many companies felt pressured toward building larger factories so as to seize the benefits to be gained from new technologies and production methods.
• B) Investment abroad provides the opportunity to obtain raw materials, labour, and other resources at the lowest possible cost.
• C) A company's market power may be increased because of broad knowledge of the cultural, social, and economic factors that affect customers.
• D) Smaller volume production has provided companies a way to achieve the lowest possible cost per unit of production.
• E) Companies that maintain a presence in multiple countries have marketing power and synergy greater than those with less foreign presence.

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Definitions:

El Niño

A climate phenomenon characterized by the warming of the central and east-central Pacific Ocean, affecting global weather patterns.

Western United States

A region of the United States that includes the states located west of the Mississippi River.

Coastal Mexico

A geographic region referring to the areas of Mexico that are adjacent to the Pacific Ocean, Gulf of Mexico, and the Caribbean Sea.

Biome

A large ecological community with distinct climate, plants, and animals adapted to its conditions, classified by predominant vegetation and characterized by adaptations of organisms to that particular environment.