Question

To the extent that a firm is able to standardize its products across country borders, use the same or similar production facilities, and coordinate critical resource functions, the more likely it is to achieve optimum economies of scale. Group of answer choices

Answer 1

Answer: True

Explanation:

When a firm is able to use the same or similar processes across different countries to produce goods and services, they will get more adept at using them and will be able to acquire resources at a cheaper rate because they acquire the required resources in huge quantities.

This will lead to optimum economies of scale because costs would be saved from both knowing how to be more efficient across various nations and being able to acquire resources at the lowest prices.