In Competing in Foreign Markets, Companies Find It Advantageous to Concentrate

question 64

Multiple Choice

In competing in foreign markets, companies find it advantageous to concentrate their activities in a limited number of locations in all of these situations, EXCEPT when

• A) there are significant scale economies in performing an activity.
• B) the costs of manufacturing or other activities are significantly lower in some geographic locations than in others.
• C) when there is a steep learning or experience curve associated with performing an activity in a single location (thus making it economical to serve the whole world market from just one or maybe a few locations).
• D) certain locations have superior resources, allow better coordination of related activities, or offer other valuable advantages.
• E) the addition of new production capacity will not adversely impact the supply-demand balance in the local market.

---

Definitions:

Questionnaires

A research instrument consisting of a series of questions for the purpose of gathering information from respondents.

Extraverts

Individuals who are typically characterized by their outgoing, sociable, and active nature, often feeling energized by being around others.

Introverts

Individuals who tend to be inward turning, focusing more on internal thoughts, feelings, and moods rather than seeking external stimulation.

Biological Differences

Refers to the physical and genetic variations among humans that influence characteristics, behaviors, and susceptibilities.