If Country a Can Produce Either 1,000 Bushels of Wheat

question 31

Multiple Choice

If country A can produce either 1,000 bushels of wheat or 500 bushels of rice with 1 unit of resources while country B can produce 600 bushels of wheat or 400 bushels of rice with 1 unit of resources,country

• A) B must give up fewer bushels of rice to get 1 unit of wheat than country A.
• B) B must have an absolute advantage in wheat production.
• C) A should specialize in the production of both wheat and rice because trade with B would yield no benefit.
• D) A must sacrifice less wheat to produce 1 unit of rice than country B.
• E) B has a comparative advantage in rice production.

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Definitions:

Global Segmentation

Global segmentation involves dividing the worldwide market into distinct subsets of consumers who share similar needs, behaviors, or characteristics, allowing businesses to target them more effectively.

Marketing Mix

The combination of factors that can be controlled by a company to influence consumers to purchase its products, including product, price, place, and promotion.

Target Markets

Specific groups of consumers a business aims to reach with its products or services, identified by characteristics like age, income level, or location.

Direct Investment

Putting money into a business venture, property, or other investments in a foreign country, aiming for a controlling interest.