Dispersing Particular Value Chain Activities Across Many Countries Rather Than

question 10

Multiple Choice

Dispersing particular value chain activities across many countries rather than concentrating them in a select few countries can be more advantageous when

• A) buyer-related activities (such as sales, advertising, after-sale service and technical assistance) need to take place close to buyers.
• B) buyers demand short delivery times and/or high transportation costs make it uneconomical to operate from one or just a few locations.
• C) it helps hedge against the risks of exchange rate fluctuations, supply disruptions, and adverse political developments.
• D) there are diseconomies of scale in trying to operate from a single location.
• E) All of these.

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Definitions:

Hormone

Chemical substances produced by glands in the body that regulate the activity of cells or organs, influencing growth, mood, and metabolism.

Neuron

A specialized cell transmitting nerve impulses; a nerve cell.

Lymph

A clear fluid that circulates throughout the lymphatic system, playing a key role in the body's immune response by removing waste and transporting white blood cells.

Blood Circulation

The movement of blood throughout the body, facilitated by the heart, to transport oxygen, nutrients, and other substances to tissues and organs.