One Motivation Behind Internationalization Is to Sustain the Firm's Competitive

question 34

Multiple Choice

One motivation behind internationalization is to sustain the firm's competitive position.To pursue a sustainable competitive position relative to its rivals in the athletic clothing industry,Nike attempts to:

• A) preempt markets, capture global scale, and secure raw materials
• B) capture global scale, access scarce knowledge, and match competitors
• C) match competitors, capture global scale, and preempt markets
• D) exploit factor cost differences, preempt markets, and match competitors

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Definitions:

Efficient Scale

The level of production at which a firm or an industry can produce at the lowest average cost.

Maximum Profit

The highest possible financial gain a business can achieve from its operations, after all costs and expenses have been deducted.

Efficient Scale

The level of production at which a company can produce its goods or services at the lowest average cost per unit, achieving economies of scale.

Efficient Scale

The level of production that minimizes the average total cost of producing a good or service.