About performing manufacturing activity in several locations

Assignment Help Business Economics

Reference no: EM131159498

Which of the following statements is true about performing a manufacturing activity in several locations at once?

Question options:

A manufacturing activity must be performed at multiple locations when the fixed costs of setting up a production plant are high.

Performing a manufacturing activity in several locations makes it difficult for a firm to accommodate demands for local responsiveness.

The larger the minimum efficient scale of a plant relative to total global demand, the greater the need for decentralizing production to multiple location

Many firms disperse their manufacturing plants to different locations as a "real hedge" against potentially adverse moves in currencies

Reference no: EM131159498

Questions Cloud

World restrict policies of individual governments : How important are Multinational firms (MNFs) in the world economy? What fraction of world output do they account for, and are they beneficial or harmful? Does the power of MNFs to move anywhere in the world restrict policies of individual governments..

How much will this process improve blackspot profits : You are the manager of BlackSpot Computers, which competes directly with Condensed Computers to sell high-powered computers to businesses. From the two businesses’ perspectives, the two products are indistinguishable. How much will this process impro..

Diagnostic testing facilities tend to order more tests : Physicians who own their own diagnostic testing facilities tend to order more tests, charge higher fees for them, and have higher total bills to patients.

Ignoring any supply-side effects : Ignoring any supply-side effects, to close a recessionary gap of $100 billion with a government expenditure multiplier of 5, the government could

About performing manufacturing activity in several locations : Which of the following statements is true about performing a manufacturing activity in several locations at once? A manufacturing activity must be performed at multiple locations when the fixed costs of setting up a production plant are high. Perform..

Determine the inflation rate : Array Solutions requires a 14 percent return on their projects. Analysis shows that even though they have been earning the desired 14 percent, their real return appears to be only 10 percent when they look at what they can buy with their returns. Exp..

What if the price of wheat rose : Suppose that you own a 10-acre plot of land that you would like to rent out to wheat farmers. For them, bringing in a harvest involves $35 per acre for seed, $80 per acre for fertilizer, and $70 per acre for equipment rentals and labor. What if the p..

Predatory pricing-what is so bad about price fixing : Apex Manufacturing charges Zenith Manufacturing with predatory pricing (that is, selling below cost) What do you think anti-trust authorities will want to consider before they determine whether prosecute Zenith for unfair practices in restraint of tr..

Losing share long term could mean shutting down factories : The following quotation appeared in a Wall Street Journal article on the battle for market share in the automobile industry in 2000: “The huge fixed costs involved in developing new vehicles and running big auto factories means auto makers feel compe..

User Account

All Pages