Developing a Market-Potential Indicator for an Emerging Market Is Useful

question 127

Multiple Choice

Developing a market-potential indicator for an emerging market is useful to companies considering ________ .

• A) exporting
• B) licensing
• C) joint ventures
• D) wholly owned subsidiaries

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Definitions:

Step-Variable Cost

Costs that change in identifiable steps with changes in activity, increasing with each step rather than continuously.

Fixed Cost

Costs that do not vary with the level of production or sales volume, such as rent, salaries, and insurance.

Mixed Cost

A cost that contains both variable and fixed cost components, changing in total with levels of activity but not proportionately.

T-shirt

A garment for the upper body made of fabric, typically with short sleeves and a round neckline, worn as casual wear.