Cost cutting in international operations can take place because of
A) higher taxes and tariffs.
B) higher wage scales.
C) higher indirect costs.
D) more stringent regulations.
E) lower wages, lower indirect costs, and lower taxes and tariffs in another country.

Question

Quizplus · Accepted Answer

Cost cutting in international operations can be achieved by operating in a country where the wages, indirect costs, taxes, and tariffs are lower than the home country. This allows a company to reduce costs and increase profitability.

Cost Cutting in International Operations Can Take Place Because of