Other things being equal, if the fixed costs of setting up a production plant are very high, _____ can make sense.

Question

Quizplus · Accepted Answer

In some cases the fixed costs of setting up a production plant are so high that a firm must serve the world market from a single location or from a very few locations.In this scenario,other things being equal,serving the world market from a single plant sited at a single (optimal)location can make sense.

Other Things Being Equal, If the Fixed Costs of Setting