Why Do Firms Locate Production Overseas Rather Than Exporting Finished

question 86

Multiple Choice

Why do firms locate production overseas rather than exporting finished goods?

• A)Shipping costs
• B)Firms seek to extend corporate control overseas
• C)Imperfect factor markets
• D)all of the options

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Definitions:

Computer-Aided Manufacturing

A form of automation where computer software controls machinery and manufacturing processes.

Manufacturing Processes

The methods and procedures used in the transformation of raw materials into finished goods or products.

Computers

Electronic devices capable of executing programmed instructions to perform a wide range of tasks from simple calculations to complex computing.

Malware

Software intentionally designed to cause damage to a computer, server, client, or computer network.