Dispersing Particular Value Chain Activities Across Many Countries Rather Than

question 33

Multiple Choice

Dispersing particular value chain activities across many countries rather than concentrating them in a select few countries can be more advantageous when

• A) buyer-related activities (such as sales,advertising,after-sale service and technical assistance) need to take place close to buyers.
• B) high transportation costs make it uneconomical to operate from one or just a few locations.
• C) it helps hedge against the risks of exchange rate fluctuations,supply disruptions,and adverse political developments.
• D) there are diseconomies of scale in trying to operate from a single location.
• E) All of these choices are correct.

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Definitions:

Demand Management

The process of forecasting, planning, and controlling demand for products and services to optimize supply chain performance.

Staff Training Centre

A facility dedicated to the development and enhancement of employees' skills and knowledge, aiming at improving performance and productivity.

CPR

Cardio-Pulmonary Resuscitation, a lifesaving technique aimed at reviving someone who has stopped breathing or whose heart has ceased to function.

Efficiency

The ratio of useful output to total input, measuring how effectively resources are utilized.