Question

Arturo is a partner in a firm that specializes in producing vitamins and health food products. While the business is considered small by U.S. standards, he is attempting to persuade his partner to expand internationally. Arturo would list which of the following as an advantage of going global?
a. exporting can help sell excess inventory
b. marketing programs benefit from the cultural similarities in prospective markets.
c. expanding internationally can reduce a firm's dependence on its domestic market.
d. selling your products in other markets can extend their life cycle.

Answer 1

Answer:

A.

Explanation:

Going global involves going into exportation and importation. As the producers, they'd be into the exportation aspect which is the process of selling goods to other countries.

Exporting brings many potential benefits. One of them is that exporting can help absorb or sell excess inventory. This will eliminate the need to sell at discounted prices to the local market.