Which of the following accurately explains how producers are affected by exchange rate changes?
A) To save money, a manufacturer may decide to relocate production to a country with a stronger currency.
B) A manufacturing firm relocating to a country with a weak currency can make a cheap initial investment.
C) Goods manufactured in a country with a weak currency may be relatively expensive in world markets.
D) A manufacturer with high operating expenses would likely relocate production to a country with a currency that is gaining value.
B
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Which of the following is a challenge presented by downsizing?
A) It cannot be used when there is labor surplus. B) Downsizing is not effective if the organization has many temporary workers. C) Downsizing is not effective if the organization is dependent on contract labor. D) Surviving employees' morale would decline. E) It would lead to an immediate labor shortage.
One characteristic of citizen marketers is that they hold amateur status, which means they
A) share information voluntarily and are transparent about their motives. B) need a great deal of training before they can be expected to sell products. C) often make mistakes that can result in public relations mishaps for companies. D) generally lack higher education and are mainly low-income earners. E) have to be recruited regularly by firms because they lack commitment and enthusiasm.