Economies that arise from performing a value creation activity in the optimal place for that activity are referred to as
A) factor economies.
B) production economies.
C) location economies.
D) value creation economies.

Question

Quizplus · Accepted Answer

Locating a value creation activity in the optimal location for that activity can have one of two effects. It can lower the costs of value creation and help the firm to achieve a low-cost position, and/or it can enable a firm to differentiate its product offering from those of competitors.

Economies That Arise from Performing a Value Creation Activity in the Optimal