Which one of the following is not a potential source of economies of scope for firms pursuing international strategies?
A) To develop new core competencies
B) To manage corporate risk
C) To control countertrade
D) To gain access to low-cost factors of production

Question

Quizplus · Accepted Answer

Controlling countertrade refers to the practice of trading goods or services for other goods or services, and is not a source of economies of scope. The other options (developing new core competencies, managing corporate risk, gaining access to low-cost factors of production) could all lead to cost savings or competitive advantages through international expansion.

Which One of the Following Is Not a Potential Source