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Boots-R-Us Inc. is a large manufacturer located in a small town in Texas. Given the large differential in labor costs between Texas and Mexico, this
Boots-R-Us Inc. is a large manufacturer located in a small town in Texas. Given the large differential in labor costs between Texas and Mexico, this firm is considering closing all manufacturing operations in Texas and relocating to Mexico. Suppose this relocation will unambiguously increase shareholder wealth. Provide one reason related to corporate stakeholders suggesting why Boots-R-Us may decide not to relocate to Mexico.
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