Suppose Giocattolo estimates the demand for toy cars in Spain as 45,000 toys per year. Based on the curves AVCSpain and ATCSubsidiary, what is Giocattolo’s best strategy? Invest in a country risk analysis. License production technology to a Spanish firm. Establish a subsidiary factory in Spain. Suppose that Giocattolo’s fixed cost of managing foreign operations increased. Which of the following best describes how Giocattolo’s decision making may change? Licensing remains more efficient than the subsidiary at a higher level of output. The subsidiary becomes completely inefficient at higher levels of output. The decision to license instead of forming a subsidiary will occur at a lower level of output. The subsidiary remains more efficient than licensing at output levels of above 60,000 toy cars.
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suppose, due to favorable weather, the crop in 2012 is 330 tons. in percentage terms, how much bigger is the 2012 crop over the 2007-2011 average?
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Utilization will always be lower than efficiency because: a. effective capacity is greater than design capacityb. expected output is less than actual output. c. effective capacity equals design capacity. d. effective capacity is less than design capacity. e. expected output is less than rated capacity.
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Suppose Giocattolo estimates the demand for toy cars in Spain as 45,000 toys per year. Based on the...
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