Transferring Core Competencies and Resource Strengths from One Country Market

question 21

Multiple Choice

Transferring core competencies and resource strengths from one country market to another is

• A)a good way for companies to develop broader or deeper competencies and competitive capabilities that can become a strong basis for sustainable competitive advantage.
• B)best accomplished with a multidomestic strategy as opposed to a global strategy.
• C)feasible only with a global strategy; it can't be done with a multidomestic strategy.
• D)unlikely to result in a competitive advantage.
• E)nearly always the easiest and most surefire way to build competitive advantage in trying to compete successfully in foreign markets.

---

Definitions:

Equivalent Units

A concept in cost accounting used to allocate costs to mass-produced items that are not identical, allowing for the calculation of per-unit costs at various stages of production.

Conversion Cost

The total cost of converting raw materials into finished goods, comprising both direct labor costs and manufacturing overhead costs.

Total Conversion Cost

The sum of all labor costs and overhead expenses involved in converting raw materials into finished goods.

First-In, First-Out

An inventory valuation method where goods purchased or produced first are sold or used first.