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Part $1$

A U$.$S$.$ firm with a production facility in Brazil uses its own personnel to handle almost all activities because their outsourcing would be too costly and inefficient. Its internalization will most likely lead to cost savings because the firm can avoid$\_\_\_\_\_\_\_\_.$

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Part $1$

A$.$

$$high$,$ fixed$$ start$-$up costs

B$.$

sharing profits

C$.$

the costs of enforcing an agreement

D$.$

costly customs brokers