Using contract manufacturing as a strategy to reach global markets offers firms the advantage of:
A)significant start-up costs.
B)reduced risks.
C)increased volatility.
D)currency stability.

Question

Quizplus · Accepted Answer

Contract manufacturing allows firms to shift the risks and costs of production to the external supplier, reducing the firm's own risks and costs associated with developing or expanding production facilities. This also allows the firm to focus on other areas of their business, such as marketing and sales, to effectively reach global markets.

Using Contract Manufacturing as a Strategy to Reach Global Markets