Question

As a manufacturing firm builds a plant in Bolivia, it also has to build an airstrip so that it can get the building supplies and the component parts it needs for operation to the Bolivian facility. The building of the airstrip was necessary because Bolivia has____________

Answer 1

Answer:

The correct answer is letter "B": an underdeveloped infrastructure.

Explanation:

The worldwide market we live in today has allowed companies to outsource their activities to different countries in an attempt to lower production costs and avoid stiff regulations. However, there are many challenges firms have to deal with while starting businesses in foreign regions.  

Depending on the industry of the company, sometimes the firms must invest in countries with underdeveloped infrastructure. It could imply building facilities, bridges, highways or any other infrastructure that will allow the company to conduct its operations normally.