Which of the Following Is an Advantage of a Multinational

question 93

Multiple Choice

Which of the following is an advantage of a multinational model?

• A) Manufacturing costs are low.
• B) Launching coordinated global attacks against competitors is easy.
• C) Subsidiaries can customize products according to local preferences.
• D) There is no chance of duplication of efforts.
• E) Realizing scale economies from centralized manufacturing facilities results in standardized production.

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Definitions:

Economic Incentives

Factors, often financial or material, that motivate individuals or businesses to pursue certain actions or behaviors.

Exploiting Opportunities

The act of taking strategic actions to capitalize on favorable conditions or circumstances to achieve desired outcomes.

Specialization

A process in economics where individuals or entities focus on the production of a limited scope of goods or services to gain greater efficiencies.

Economic Growth

Increase in a country's output of goods and services over time, often measured by GDP growth, indicating improved economic health and living standards.