Question

_________is slowed when a firm focuses on the needs of the area​ market, which may also sacrifice cost efficiencies that might be gained through global production.

a) Globalization
b) Standardization
c) Localization
d) Diversification

Answer 1

Localization is slowed when a firm focuses on the needs of the area market, sacrificing cost efficiencies that could be gained through global production.

Step-by-step explanation:

The correct answer is c) Localization.

When a firm focuses on the needs of the area​ market and tailors its products or services to meet the specific preferences and requirements of that market, it is practicing localization. This approach may result in slower growth because the firm is not able to take advantage of the cost efficiencies that could be gained through global production.

For example, if a clothing company decides to focus on a specific region and design clothing styles that are popular in that area, they may not be able to benefit from economies of scale and cost reductions that could be achieved through mass production.