Use the Information Below to Answer the Following Question(s)

question 165

Multiple Choice

Use the information below to answer the following question(s) :
Pottery Unlimited has two product lines: cups and pitchers. Income statement data for the most recent year follow:

-If $20,000 of Pottery Unlimited's fixed costs will be eliminated by dropping the Pitcher line, how will operating income be affected?

• A) Increase $2,000
• B) Decrease $20,000
• C) Decrease $10,000
• D) Increase $12,000

Identify the roles and advantages of host-country nationals in international operations.

Analyze the causes of expatriate assignment failure.

Describe the early stages of international expansion and the use of home-country nationals.

Understand the process and criteria for selecting expatriates.

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Definitions:

Profit Sharing

An incentive program where employees receive a share of the company's profits, reflecting their contribution to its success.

Weak Economy

A state where a country's overall economic performance is poor, characterized by low growth, high unemployment, and declining business activities.

Job Depth

The degree of control employees have over their tasks and procedures at work.

Assembly Line

A manufacturing process that breaks down the production into sequential steps carried out by different workers, significantly increasing efficiency.