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Low-cost strategies in the context of global market dynamics

Author

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  • Laura Diaconu

    (The Department of Economics, Quantitative Analysis and Business Information Systems, Faculty of Economics and Business Administration, Alexandru Ioan Cuza University)

Abstract

The globalization process has generated an increase of the international competition, fact that influenced the strategies adopted by the firms. As a consequence, the multinational companies, looking for competitive advantages, decided to locate their production in less developed or developing countries, with low costs of labor force and raw materials. The purpose of this article is not only to analyze the impact that the relocation of production has on the macroeconomic level, but also to determine the consumers' perceptions and their responses to the challenges generated by this process.

Suggested Citation

  • Laura Diaconu, 2007. "Low-cost strategies in the context of global market dynamics," Analele Stiintifice ale Universitatii "Alexandru Ioan Cuza" din Iasi - Stiinte Economice (1954-2015), Alexandru Ioan Cuza University, Faculty of Economics and Business Administration, vol. 54, pages 121-125, November.
    • Handle: RePEc:aic:journl:y:2007:v:14:p:121-125
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