Regarding the opinion of the business department of the Apogee Company 2/2

If domestic markets of the Apogee Company are shrinking, then it would be inevitable for the company to diversify its operation more than before to all over the world for making its business profitable. Finally, the business department of the company ignores costs. For centralization, the company has to purchase lands and expand the existing main factory and infrastructures. It will require many expenses. Thus, the department should conduct a feasibility study to double-check if spending that kind of money does make sense for centralizing all its operations in the sense of profitability of the company. In conclusion, the department of the company makes irrelevant assumptions related to the effect of centralization. It’s not only because something else could be the cause of the increase in profit of the company in the past, but also because it’s possible that the company won’t be profitable when it has all its operations in one location again. Also, the department should consider costs.