Which of the following is likely to be the least important factor for firms in determining production location?
A)Comparative cost advantage
B)Environmental standards
C)Transportation costs
D)External economies of scale

Question

Quizplus · Accepted Answer

Environmental standards are important for firms, but they are likely to be the least important factor in determining production location as they are often seen as a regulatory requirement rather than a competitive advantage. Comparative cost advantage, transportation costs, and external economies of scale are more important determinants of production location as they directly impact a firm's profitability and competitiveness.

Which of the Following Is Likely to Be the Least