To Use Location to Build Competitive Advantage, a Company That

question 86

Multiple Choice

To use location to build competitive advantage, a company that operates transnationally or globally must

• A)employ either an export strategy or a franchising strategy.
• B)scatter its production plants across many countries in different parts of the world so as to minimize transportation costs.
• C)consider whether to concentrate each activity it performs in a few select countries or disperse performance of the activity to many nations and consider in which countries to locate particular activities.
• D)locate production plants in those countries having suppliers that can supply all the necessary raw materials and components so as to avoid inbound shipping costs.
• E)concentrate all of its value chain activities in the one country that has the best combination of low wage rates, low shipping costs, and low tax rates on profits.

Analyze and compare different pricing and payment plan options to determine the most cost-effective choice.

Calculate overtime pay based on hourly wages and overtime rates.

Solve problems involving the distribution of fixed totals to groups with different entitlement criteria.

Determine investment allocations and returns based on interest rates and total returns.

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Definitions:

Expectancy Theory

A motivational theory that explains how people choose from available actions based on their expectations of rewards and their assessment of how likely those rewards are.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors.

Human Behavior

The range of actions and mannerisms exhibited by humans, influenced by culture, attitudes, emotions, values, and genetics.

Similar Conditions

Similar Conditions refer to circumstances or environments that share common traits or characteristics, allowing comparisons or analyses to be made.