Exporting activities allow a firm to achieve economies of scale but actually make the firm less efficient in marketing terms.

Question

Quizplus · Accepted Answer

Exporting activities may actually increase the efficiency of a firm in marketing terms, as it may lead to increased brand recognition and sales in new markets. Additionally, economies of scale may also lead to cost savings in production and distribution. Therefore, exporting activities can both increase the efficiency of a firm and allow it to achieve economies of scale.

Exporting Activities Allow a Firm to Achieve Economies of Scale