In Which of the Following Circumstances Is It Not Advantageous

question 99

Multiple Choice

In which of the following circumstances is it not advantageous for a multinational competitor to concentrate its activities in a limited number of locations in order to build competitive advantage?

• A) When the costs of performing certain value chain activities are significantly lower in certain geographic locations than in others
• B) When a company has competitively superior patented technology that it can license to foreign partners
• C) When there is a steep learning or experience curve associated with performing an activity in a single location
• D) When certain locations have superior resources, allow better coordination of related activities, or offer other valuable advantages
• E) When there are significant scale economies in performing the activity

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Definitions:

Retailer's Advertising

Marketing efforts carried out by retailers to promote their products, services, and brand to potential customers.

Local Advertising

Promotion and marketing efforts targeted at the audience within a specific geographic location.

Manufacturer's Products

Items produced by companies specializing in the fabrication and production of goods for sale in markets.

Product Placement

The practice of subtly incorporating branded products into media content as a form of advertisement.