Which of the following firms should concentrate its production in a centralized location?

Which of the following firms should concentrate its production in a centralized location?



A. Jupiter Inc. operates in an industry where the fixed costs are high and services of supporting industries are of prime importance.


B. Star Goal Inc. manufactures consumer products like processed food, apparel, and cosmetics for which national differences in consumer taste and preference are wide.


C. Uranious Inc. operates in an economy where volatile fluctuations in exchange rates are frequently expected.


D. Earth Ventures Inc. is a mining company that exports iron ore—a product with low value-to-weight ratio—to various countries.


E. Silver Times Inc. customizes heavy machines without the use of flexible manufacturing technologies.



Answer: A. Jupiter Inc. operates in an industry where the fixed costs are high and services of supporting industries are of prime importance


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International Business

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