Alcater is a small Turkish manufacturer that has found its sales decreasing in recent years by losing contracts to larger, multinational corporations. The company negotiated a contract with one of these corporations to become a contract manufacturer in what is known as __________.
Explanation
Answer: D - Alcater is a small Turkish manufacturer that has found its sales decreasing in recent years by losing contracts to larger, multinational corporations. The company negotiated a contract with one of these corporations to become a contract manufacturer in what is known as dodger strategy. When a company cannot compete due to the presence of larger companies in the market, it can avoid, or “dodge,” this competition by finding ways to cooperate. These smaller companies often have local market advantage, which they can offer to the larger corporations. In exchange, they remain in operation in the same market as the larger companies.
