Of the following,which is one of the central principles recommended in this Chapter for a firm organizing itself for international business?
A)Organize value-adding activities along lines of comparative advantage.
B)Establish multiple offices for international systems and a global CIO position.
C)Disperse production and marketing to regional centers and establish a single center for world headquarters and strategic management.
D)Develop and operate systems units at the international level first.
E)Centralize production,but decentralize marketing and sales to be close to the customer.

Question

Quizplus · Accepted Answer

The central principle recommended in this Chapter for a firm organizing itself for international business is to organize value-adding activities along lines of comparative advantage. This means that a firm should allocate its resources and activities in countries or regions where they can be most efficiently utilized and where the firm can benefit from the comparative advantages of those locations. This approach helps firms to achieve higher efficiency, reduce costs, and improve their competitiveness in the global market.

Of the Following,which Is One of the Central Principles Recommended