When a company expands its sales volume through international expansion,it can realize cost savings from economies of scale through all of the following except
A) spreading fixed costs over its global sales volume.
B) utilizing its production facilities more intensely.
C) increased bargaining power with its suppliers.
D) learning effects associated with higher volume.
E) improved responsiveness.

Question

Quizplus · Accepted Answer

Improved responsiveness is not directly related to cost savings from economies of scale. The other options all describe ways in which a company can achieve cost savings through international expansion.

When a Company Expands Its Sales Volume Through International Expansion,it