According to Vernon, which of the following factors obviates the need

QUESTION

According to Vernon, which of the following factors obviates the need for pioneering U.S. firms to look for low-cost production sites in other countries?

A. The uncertainties and risks inherent in introducing new products are very low.

B. The demand for most new products tends to be based mainly on price.

C. U.S. labor costs are relatively low compared to global standards.

D. Firms can charge relatively high prices for new products.

E. The production of innovative products in other advanced countries limits the potential for exports from the United States.

ANSWER

D