When Krispy Kreme Decided to Expand Its Operation Internationally,it Chose

question 151

Multiple Choice

When Krispy Kreme decided to expand its operation internationally,it chose to first make its doughnuts available in Canada to minimize its risk.In accordance with the policy of risk minimization,the company sold the right to manufacture and sell its doughnuts to Canadians.In other words,Krispy Kreme used:

• A) contract manufacturing
• B) direct investment
• C) importing
• D) a strategic alliance
• E) licensing

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Definitions:

Break-Even Point

The level of business operations at which revenues and expired costs are equal.

Cost-Volume-Profit Chart

A chart that graphically shows sales, costs, and the related profit or loss for various levels of units sold.

Total Costs

The sum of all costs associated with the production or acquisition of goods and services, including variable and fixed costs.

Sales Line

A term used to refer to the product line or range of products that generate sales revenue for a business.