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Question
It is most appropriate for a firm to contract out manufacturing when:A.individual manufacturers have few firm-specific skills that contribute to the value of their product.
B.the value of the host country currency is expected to appreciate.
C.supplier switching costs are correspondingly high.
D.firm-specific technology and expertise add significant value to the product.
E.the currency used for pricing a product is anticipated to stay weak in the long run.
Answer
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Which of the following is true of the barriers to international communication?
A.Noise tends to increase the probability of effective communication.
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C.Many international businesses try to promote positive source effects by deemphasizing their foreign origins.
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According to research, when do consumers usually use the country of origin as a cue when evaluating a product?
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D.When a limited number of messages compete with each other for consumers' attention
E.When a firm resorts to personal selling instead of mass media advertising