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A Significant Determining Factor on Whether a Firm Conducts an Activity

Question 42

Multiple Choice

A significant determining factor on whether a firm conducts an activity internally is


A) whether the transaction costs of buying in the activity in the market exceed the administrative cost of doing it themselves.
B) whether transaction costs in the market of buying in the activity exceed the administrative cost buying it in.
C) how reliable their workforce is, compared with an external supplier's reliability.
D) none of the above.

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