Sematech Is a Producer of Computer Chips

question 95

Multiple Choice

Sematech is a producer of computer chips. To gain an advantage over other computer chip makers, Sematech focuses on reducing its costs below all of its competitors and has aligned its value chain accordingly. Recently, several of Sematech's competitors have begun to reduce the company's competitive advantage. In response to this threat, Sematech has decided to add production capacity in an effort to lower costs.
-If Sematech's efforts to increase its production capacity resulted in increased complexity and an inability of managers to control and operate the firm efficiently, this would be an example of

• A) physical limits to efficient size.
• B) worker de-motivation.
• C) distance to markets and suppliers.
• D) managerial diseconomies.

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Definitions:

Common Bursae

Small fluid-filled sacs located near joints that reduce friction between bones and soft tissues, commonly found in the shoulder, elbow, hip, and knee.

Gastrocnemius

The large muscle in the calf of the leg.

Muscles Contract

The process by which muscle fibers shorten and generate force, typically in response to a signal from the nervous system.

Muscle Tone

A state of muscle contraction in which a portion of the fibers are contracted while others are at rest.