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Sagot :
A trade barrier that affects a firm's strategy is one where, to conform to local content regulations, a firm may have to locate more production activities in a given market than it would otherwise.
Some countries require that the production of certain goods can only be done within the country. In order to get around this, a company would then establish local affiliates that will produce in that country.
If the company had no intention of doing this before the requirement, we can say that their strategy was changed because of that requirement.
The other options are wrong because:
- Quotas reduce a firm's ability to serve another country
- Antidumping prevents aggressive pricing strategies
- Tariffs increase the cost of exporting.
In conclusion, requiring that companies produce content locally can cause a firm to produce within a country to get around this thereby changing their strategy if this was not their original intention.
Find out more at https://brainly.com/question/15398873.
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