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Using Domestic Plants as a Production Base for Exporting Goods

Question 26

Multiple Choice

Using domestic plants as a production base for exporting goods to selected foreign country markets


A) can be an excellent initial strategy to pursue international sales.
B) can be a competitively successful strategy when a company is focusing on vacant market niches in each foreign country.
C) works well when a firm does not have the financial resources to employ cross-market subsidization.
D) is usually a weak strategy when competitors are pursuing multicountry strategies.
E) can be a powerful strategy because the company is not vulnerable to fluctuating exchange rates.

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