APICS Certified Supply Chain Professional (CSCP) — Question 240
Which of the following effects is most likely to occur for a supply chain within a trading bloc?
Answer options
- A. Increased loss of intellectual property
- B. Increased growth due to consolidation
- C. Loss of business due to more imports
- D. Shorter lead times due to decreased border crossing scrutiny
Correct answer: D
Explanation
The correct answer is D because trading blocs often lead to streamlined border processes, resulting in shorter lead times for goods. Option A is incorrect as trading blocs typically enhance protection of intellectual property. Option B, while plausible, is not the primary effect related to trading blocs, and option C does not accurately reflect the benefits often seen in such economic arrangements.