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

question 124

Multiple Choice

In competing in foreign markets,companies find it advantageous to concentrate their activities in a limited number of locations 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) All of these.

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Definitions:

Factor Analysis

A statistical method used to describe variability among observed variables in terms of a potentially lower number of unobserved variables, called factors.

Clusters

Groups or collections of similar items, events, or individuals, closely positioned together or forming a pattern based on certain criteria.

Logistic Regression

A statistical analysis method used for predicting the outcome of a categorical dependent variable based on one or more predictor variables.

Meta-Analysis

A statistical technique that combines the results of multiple scientific studies to arrive at a comprehensive conclusion.