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A Firm That Is Committed to Keeping Manufacturing Facilities in Only

Question 81

Multiple Choice

A firm that is committed to keeping manufacturing facilities in only the home country (and not developing multiple production sites in a variety of countries) can


A) not mitigate the effects of exchange rate changes.
B) lessen the effect of exchange rate changes by sourcing from where input costs are low.
C) focus on selling commodity products with product differentiation.
D) pursue a strategy of increasing its products price elasticity of demand.

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