Some of the Factors Contributing to the Emergence of India's

question 9

Multiple Choice

Some of the factors contributing to the emergence of India's low-cost and highly efficient software industry are

• A) combination of Indian Government agricultural subsidies and the overcapacity and the low cost of the international telecommunication networks.
• B) large number of well-educated, English-speaking technical experts willing to work for MNEs in USA and Western Europe.
• C) low-cost, educated and trained labor; solid infrastructure and liberalized foreign direct investments regime in the service sector.
• D) None of the above

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Definitions:

Fixed Costs

Expenses that do not change with the level of goods or services produced over a short time.

Variable Costs

Expenses that change in proportion to the activity or production level of a business.

Fixed Costs

Expenses that remain constant for a period of time irrespective of the level of outputs, like rent, salaries, and loan payments.

Break-even Volume

The quantity of sales needed for a product to generate revenue that matches the total costs, resulting in no profit or loss.