Scenario: Blickinstock at the Crossroads

question 169

Multiple Choice

Scenario: Blickinstock at the Crossroads
Auto parts supplier, Blickinstock Ltd., would like to expand its presence in Latin America. To that end, Blickinstock is trying to decide whether to purchase an existing company in a remote region of Argentina or build its own subsidiary. Keith Moon, Blickinstock's vice president of global business development, will be making a presentation to the board outlining the company's options.
-One board member has asked about the maquiladora industry, which refers to ________.

• A) Mexico's low-cost labor unions
• B) the cross-border drug trafficking problem that threatens to limit legitimate production in Mexico
• C) the low-wage, 130-mile-wide strip along the U.S.-Mexico border
• D) Latin America's new model for business that allows foreign investors to take advantage of government incentives designed to attract foreign direct investment

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Definitions:

Qualitative Forecasts

Forecasting methods that use expert judgement rather than numerical data to predict future events or trends.

Delphi Technique

A method used for collecting and distilling the collective expertise of a group of experts through rounds of questionnaires, often used in forecasting and decision making.

Regression Analysis

A statistical method used to examine the relationship between one dependent variable and one or more independent variables.

Trend Analysis

A forecasting method that extrapolates from historical trends.