Evara Cosmetics Inc

question 113

Multiple Choice

Evara Cosmetics Inc.is a company that operates in 20 countries around the globe.The company clearly understands that the skin and hair type of customers varies from one country to another.Consequently, its products are customized to suit local needs and preferences of customers, even though the costs incurred while producing these products are exceptionally high.This strategy helps the company behave as a local firm in a foreign market.In this scenario, which of the following strategies does Evara Cosmetics Inc.most likely implement?

Identify the role of multinational companies in the global trade network.

Discern the economic effects of trade deficits and surpluses.

Understand the concept of opportunity cost in the context of international trade.

Comprehend the influence of currency value fluctuations on trade balances.

Definitions:

Mineral Deposit

A concentration of naturally occurring material from the earth's crust that can be extracted and processed profitably.

Expense Account

An account where costs incurred by a business, like rent, utilities, and salaries, are recorded.

Intangible Asset

An asset that lacks physical substance but offers value to a business, such as trademarks, patents, and copyrights.

Mining Rights

Legal permissions granted to companies or individuals to extract minerals or other valuable materials from the earth.