Susan runs a factory in Texas that produces heaters. She has done a cost analysis on production and found that it would cost her $5.40 US to buy the input materials in the United States (per heater); 5.4 pesos (Mexican currency) in Mexico (per heater); and $6.00 Canadian (in Canada). All transport costs are included in the input cost. Assume the exchange rate for the peso to be $0.80 of $1.00 US, and that $1.00 Canadian is $0.90 US. What production structure should Susan’s factory use? A.
import materials from Canada
B.
import materials from Mexico
C.
export materials to Mexico
D.
use materials from the United States

Tl & co. is following a related-linked diversification strategy, and soar inc. is following a related-constrained diversification strategy. how do the two firms differ from each other? a. soar inc. generates 70 percent of its revenues from its primary business, while tl & co. generates only 10 percent of its revenues from its primary business. b. soar inc. pursues a backward diversification strategy, while tl & co. pursues a forward diversification strategy. c. tl & co. will share fewer common competencies and resources between its various businesses when compared to soar inc. d. tl & co. pursues a differentiation strategy, and soar inc. pursues a cost-leadership strategy, to gain a competitive advantage.