MNCs Can Exploit Advantages Over Domestic Businesses

question 192

Multiple Choice

MNCs can exploit advantages over domestic businesses.Which of the following in NOT an advantage?

• A) Location efficiencies
• B) Economies of scope
• C) Multiple accounting systems
• D) Multi-market flexibility
• E) Worldwide learning

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Definitions:

Utilities

Services such as electricity, water, and gas that are consumed by businesses and households.

100% Capacity

The maximum level of operational output that a facility can achieve under normal conditions within a specific time frame.

Fixed Costs

Expenses that do not fluctuate with changes in production level or sales volume, such as rent or salaries.

Per Unit

A measure or cost expressed as an amount per individual item or unit.