Which Is One of the Disadvantages of the Home Replication

question 11

Multiple Choice

Which is one of the disadvantages of the home replication strategy?

• A) It focuses too much on the home country.
• B) It is organizationally complex and difficult to implement.
• C) It focuses too much on the foreign country.
• D) It has higher costs due to duplication efforts in multiple countries.

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Definitions:

Direct Labor-Hours

The total hours worked by employees who are directly involved in the production process.

Predetermined Overhead Rate

A rate calculated before a period begins, used to allocate estimated overhead costs to products based on a predetermined activity base.

Machine-Hours

A measure of the amount of time machines are operated in the production of goods or services, used as a basis for allocating manufacturing costs.

Manufacturing Overhead

The indirect costs related to manufacturing, not including direct labor or materials, such as utility costs and maintenance expenses.