When a Company Expands Its Sales Volume Through International Expansion

question 59

Multiple Choice

When a company expands its sales volume through international expansion, it can realize cost savings from economies of scale through all of the following except:

• A)spreading fixed costs over its global sales volume.
• B)utilizing its production facilities more intensely.
• C)increased bargaining power with its suppliers.
• D)learning effects associated with higher volume.
• E)adopting high cost structures.

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Definitions:

Inhaled Steroid

A medication delivered directly into the lungs via inhalation to reduce inflammation and manage respiratory conditions.

Enteral Tube

A tube used for delivering nutrients directly to the stomach or small intestine, bypassing oral intake.

Percutaneous Endoscopic Gastrostomy

A medical procedure where a tube is placed through the abdomen into the stomach to provide nutrition directly.

Jejunostomy Tube

A feeding tube inserted through the skin into the jejunum (part of the small intestine) to provide nutrition directly to the gastrointestinal tract.