Locating Manufacturing in Countries with Low-Cost Labor Enables a Firm

question 10

Multiple Choice

Locating manufacturing in countries with low-cost labor enables a firm to ________.

• A) charge premium prices
• B) create artificial demand
• C) standardize products
• D) charge lower prices

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Definitions:

Piece Rate Pay Systems

A compensation method where workers are paid a fixed sum for each unit of production completed, incentivizing higher productivity.

External Control

Regulatory or supervisory mechanisms imposed by external entities to govern the operations and behaviors of organizations.

Deferred

Postponed or delayed to a later time.

Profit-Sharing Plan

A company program that gives employees a share in the profits of the company, often based on the company's yearly earnings.