A Firm Benefits by Basing Each Value Creation Activity It

question 36

Multiple Choice

A firm benefits by basing each value creation activity it performs at that location where economic, political, and cultural conditions, including relative factor costs, are most conducive to the performance of that activity. Firms that pursue such a strategy can realize

• A) differentiation.
• B) location economies.
• C) vertical integration.
• D) horizontal integration.

---

Definitions:

Mediodorsal Thalamus

A central nervous system structure involved in the storage of experiences.

Medial Temporal Lobe

A critical brain area for the consolidation of long-term memories, located near the middle of the temporal lobe.

Long-Term Memory Storage

The process of retaining information over extended periods, ranging from days to a lifetime.

Frontal Lobes

The part of the brain located at the front of each cerebral hemisphere, responsible for voluntary movement, expressive language, and managing higher level executive functions.