Using Domestic Plants as a Production Base for Exporting Goods

question 88

Multiple Choice

Using domestic plants as a production base for exporting goods to selected foreign country markets:

• A) can be an excellent initial strategy to test the international waters and learn if attractive market positions can be established in foreign markets.
• B) can be a competitively successful strategy when a company is focusing on vacant market niches in each foreign country and does not have to compete head-to-head against strong host country competitors.
• C) can be a powerful strategy since a company can maintain a one-country production base allowing it to capitalize on company competencies and capabilities.
• D) is usually a weak strategy when competitors are pursuing multi-country strategies.
• E) can be a powerful strategy because a company is not vulnerable to fluctuating exchange rates.

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Definitions:

Interval

A range of numbers between two set points.

Real Number Line

A one-dimensional line on which every point corresponds to a real number and every real number to a point.

Real Number Line

A line that graphically represents all possible real numbers, where each point on the line corresponds to a unique real number.

Inequality

An inequality is a mathematical statement indicating that two expressions are not equal, represented by symbols such as > (greater than), < (less than), ≥ (greater than or equal to), or ≤ (less than or equal to).