December 2014

1:

"Mature Industries tend to go out of own country and into low-cost assembly location" Which of the following theory/model explain this?

A.

Adam Smith's theory of absolute advantage

B.

Porter's diamond model

C.

Raymond Vermon's international product lifecycle theory

D.

Heckscher-Ohlin theory of international trade

 

Answer : A

Explanation :

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Option: A

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