__________ Is an Example of a Capability That Is Based

question 77

Multiple Choice

__________ is an example of a capability that is based in the functional area of distribution.

• A) Effective use of logistics management techniques
• B) Effective control of inventories through point-of-purchase data collection
• C) Effective organizational structure
• D) Product and design quality

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Definitions:

Consumer Surplus I

The gap between what consumers are prepared and able to spend on a product or service and what they end up paying.

Price

The amount of money required to purchase a good or service.

Comparative Advantage

The ability of an individual, firm, or country to produce a good or service at a lower opportunity cost than other producers.

Absolute Advantage

Refers to the capability of an entity to produce a good or service more efficiently than its competitors using the same amount of resources.