When a Company Performs a Value Creation Activity in the Optimal

question 44

Multiple Choice

When a company performs a value creation activity in the optimal location for that activity,wherever in the world that might be,it is trying to capitalize on

• A) economies of scale.
• B) economies of scope.
• C) the transnational strategy.
• D) location economies.
• E) its localization strategy.

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Definitions:

Organizational Socialization

The process through which new employees acquire the necessary knowledge, behaviors, and skills to become effective members of the organization.

Learning

The process of acquiring new understanding, knowledge, behaviors, skills, values, or preferences through study, experience, or teaching.

Reality Shock

The experience of discovering that one's expectations of a profession or activity differ significantly from the actual experience.

Information Overload

A condition in which the volume of information one has to deal with exceeds one's capacity to process it effectively.