By utilising an international pool of suppliers, multinational enterprises can lower production costs.

Name: By utilising an international pool of suppliers, multinational enterprises can lower production costs.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The statement is likely to be true because specialist suppliers may have access to lower-cost resources, greater scale or innovative technology. If they did not offer a cost advantage the buyer is likely to undertake the activity itself (internalise it).

By Utilising an International Pool of Suppliers, Multinational Enterprises Can