Why do companies find dealing with high pressures for both,cost reductions and local responsiveness,a difficult strategic challenge?
A) Cost reductions are inversely proportional to standardization.
B) Being locally responsive tends to raise costs.
C) Cost reductions negatively impact maximization of single-plant utilization.
D) As the quantity produced goes on increasing, it becomes more difficult for a company to achieve economies of scale.
E) Customer tastes are usually identical across global markets.
Correct Answer:
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