Which Is Not One of the Four Conditions That Make

question 55

Multiple Choice

Which is not one of the four conditions that make entry via an internally developed start-up strategy in a foreign country appealing?

• A) When creating an internal start-up is cheaper than making an acquisition
• B) When adding new production capacity will adversely impact the supply-demand balance in the local market
• C) Having the ability to gain good distribution access
• D) Having scale economies to compete against local rivals
• E) All of these choices are correct.

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Definitions:

Machine-Hours

A measure of production time, indicating the total hours that machines are operational within a set period.

Overhead Cost

Expenses related to the day-to-day operations of a business that aren't directly tied to the production of goods or services.

Materials Handling

The moving, protecting, storing, and controlling of materials and products throughout manufacturing, warehousing, distribution, consumption, and disposal.

Material Moves

The process of transferring physical materials from one location to another within a manufacturing or distribution facility.