The globalization of production has allowed firms to
A) lower their market share.
B) lower their cost structure.
C) respond to individual market segments.
D) avoid international competition.
E) all of these choices.

Question

Quizplus · Accepted Answer

The globalization of production allows firms to lower their cost structure by taking advantage of lower labor costs or utilizing economies of scale. It does not necessarily lead to lower market share or avoiding competition, and may or may not enable firms to respond to individual market segments depending on their strategies. Therefore, the best choice is B.

The Globalization of Production Has Allowed Firms to