Identify the Incorrect Statement Pertaining to Raymond Vernon's Product Life-Cycle

question 67

Multiple Choice

Identify the incorrect statement pertaining to Raymond Vernon's product life-cycle theory.

• A)Early in their life cycle,most new products are produced in and exported from the country in which they were developed.
• B)As a new product becomes widely accepted internationally,production starts in other countries.
• C)A product in the early stage of the product life-cycle is imported by the country where it was innovated.
• D)A product may ultimately be exported back to the country of its original innovation.

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Definitions:

Equity Interest

Ownership interest in a company, represented by the equity or shares held by investors.

Mutual Agreement

A consensus reached by two or more parties where the terms of an engagement or deal are accepted by all involved.

Limited Life

Refers to the finite existence of certain assets, indicating they will only last for a specific period before ceasing to be useful.

Prime-Time Television

The time period in the evening when television viewership is at its highest and networks air their most popular programs.