A manufacturing firm finds a location that has a significant cost advantage over alternatives, but rejects that location because the educational infrastructure was insufficient to train the firm's workers in its special production technologies. The firm's action illustrates the link between __________ and location.
A) innovation
B) clustering
C) tax incentives
D) globalization
E) proximity

Question

Quizplus · Accepted Answer

The firm's action illustrates the link between innovation and location, as it requires a specific educational infrastructure to train workers in its special production technologies. Thus, the firm's decision is based on the availability of innovative resources in the location, rather than cost advantages or other factors.

A Manufacturing Firm Finds a Location That Has a Significant