Question

Commodity chain is defined as _________.

• A. a series of production stages, or network of labour inputs, distributed globally among production sites
• B. importing commodities to meet the domestic needs
• C. outsourcing the marketing of commodities to private agencies
• D. import substituted industrialization

Hint:

The commodity chain is a key concept in understanding global economic networks and how goods are produced and distributed worldwide.

Answer 1

The Correct Option is A

Step 1: Understanding commodity chain.
Commodity chain refers to the full range of activities involved in the production and distribution of a commodity, from raw material extraction to final product delivery. It highlights how global production processes are interconnected through labor and resources.
Step 2: Analyzing the options.
- (A) Correct, a commodity chain refers to the series of production stages and labor inputs that are distributed globally across different production sites.
- (B) Incorrect, importing commodities to meet domestic needs is a trade-related concept but does not describe a commodity chain.
- (C) Incorrect, outsourcing marketing is a business strategy but not the definition of a commodity chain.
- (D) Incorrect, import-substituted industrialization is a specific economic strategy, not a definition of a commodity chain.
Step 3: Conclusion.
Thus, the correct answer is (A) a series of production stages, or network of labour inputs, distributed globally among production sites.