Which best describes the weakness behind enterprise resource planning (ERP) packages and MNE strategy?
A) ERPs only help a firm beginning home replication strategy, so they have low levels of local responsiveness
B) ERPs help a firm compete as efficiently as possible, but they are designed for widespread use by many MNEs so they do not help a firm achieve strong rarity.
C) The cost of ERPs usually does not outweigh its benefits.
D) ERPs help with organization and limitability, but are rarely able to help a firm establish more value.

Question

Quizplus · Accepted Answer

While ERPs can help a firm compete efficiently, they are not designed for any specific MNE strategy and are used widely by many firms. Therefore, they do not help a firm achieve strong rarity, which is a key component of MNE strategy. ERP packages are designed to increase efficiency and standardize processes across different locations, but they are not tailored to specific MNE strategies. As a result, using an ERP package may not help the firm achieve strong rarity.

Which Best Describes the Weakness Behind Enterprise Resource Planning (ERP)