Which of the Following Should an MNE Most Likely Consider

question 62

Multiple Choice

Which of the following should an MNE most likely consider in a make-or-buy decision?

• A)organizational hierarchy
• B)supplier capabilities
• C)employee morale
• D)niche markets

---

Definitions:

Average Variable Cost

The variable cost of production (costs that change with output level) divided by the quantity of output produced.

Product Differentiation

A marketing strategy where a company attempts to distinguish its product or services from the competition.

Competitive Price-searcher

A market structure where firms have some control over their selling price because their products are differentiated, but they still face competition.

Entry Barriers

Obstacles that make it difficult for new competitors to enter a market, which can include high startup costs, regulation, or patent protections.