Findings that can result in a firm deciding to globalize include all but which of the following?
A) wages are significantly lower in another location
B) logistics to bring raw materials to the firm's location are difficult
C) a pool of skilled workers is available elsewhere
D) it is more cost effective to use local labor

Question

Quizplus · Accepted Answer

The other three options (A, B, C) are all potential factors that could lead a firm to decide to globalize, as they all suggest an advantage to setting up operations in another location. Option D, however, is not a factor that would typically lead to globalizing, as it suggests that it would be more cost effective to use local labor rather than outsourcing to another country.

Findings That Can Result in a Firm Deciding to Globalize