Question

Which of the following is true about production and logistics in international businesses?a) The term production cannot be used to denote service activitiesb) Developing nations are outsourcing the "production" of certain service activities to the United Statesc) In an international firm, production and logistics are closely linkedd) The production functions of an international firm can only be located in its home countrye) Demands for local responsiveness create pressures to centralize production activities

Answer 1

Answer: The following is true about production and logistics in international businesses: In an international firm, production and logistics are closely linked.

Production and logistics play a vital role in a organization especially if it acts on international grounds. Production is determined by the forces of demand and supply whereas the logistics is  the elaborated structure and implementation of a analyzable business activity. It is the administration of how things are directed between origin and consumption in order for the organization to meet demand of customers.