Which of the Following Would Qualify as an Offensive Goal

question 45

Multiple Choice

Which of the following would qualify as an offensive goal?

• A) An American software firm's desire to take advantage of significant differences in operating costs between America and Japan
• B) A leather manufacturer deciding to expand its operations to other nations to enjoy the benefits of economies of scale
• C) An oil dealer aiming to preempt its competitors' global moves
• D) A Finnish electronic goods manufacturer's intention to acquire technological innovations developed in the United States

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Definitions:

Fixed Costs

Expenses that do not change with the level of output or sales, such as rent, salaries, and insurance.

Fixed Cost

A cost that does not vary with the level of output or sales, such as rent, salaries, and insurance premiums.

Overhead Cost

Indirect expenses related to the operation of a business, such as rent, utilities, and administrative salaries, that are not directly tied to the production of goods or services.

Total Revenue

The complete amount of income generated by a business from its sales or services before any costs or expenses are subtracted.