Which of the following statements is true of reactive firms?
A) Reactive firms consider a variety of markets for selling their products and services.
B) They consider exporting only after their domestic market is saturated.
C) They systematically scan foreign markets for profitable export opportunities.
D) They create excess productive capacity and actively hunt for opportunities in foreign markets.

Question

Quizplus · Accepted Answer

Many medium-sized and small firms are very reactive. Typically, such reactive firms do not even consider exporting until their domestic market is saturated and the emergence of excess productive capacity at home forces them to look for growth opportunities in foreign markets.

Which of the Following Statements Is True of Reactive Firms