Building a global presence expands an organization's scale of operations, enabling it to realize economies of scale.

Question

Quizplus · Accepted Answer

Building a global presence allows an organization to reach a larger customer base and access new markets, which can lead to increased sales and production volumes. This, in turn, can help the organization realize economies of scale by spreading fixed costs over a larger output and reducing per-unit costs.

Building a Global Presence Expands an Organization's Scale of Operations