Firms do not typically incur significant additional costs when diversifying their business operations around the globe.

Question

Quizplus · Accepted Answer

Firms often face additional costs when diversifying their business operations around the globe, including expenses related to transportation, communication, regulatory compliance, and cultural adaptation. These costs can reduce the benefits of global diversification, and companies must carefully weigh the potential gains against the associated expenses.

Firms Do Not Typically Incur Significant Additional Costs When Diversifying