A Company That Continually Improves Management of Its Value Chain

question 5

Multiple Choice

A company that continually improves management of its value chain in order to supply products with the quality, cost, and features desired in the market is demonstrating

• A)total quality management.
• B)just-in-time improvement.
• C)quantum innovation.
• D)superior responsiveness to customers.
• E)incremental innovation.

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Definitions:

Cost of Equity

The return a company theoretically pays to its equity investors, i.e., shareholders, to compensate for the risk they undertake by investing their capital.

Annual Dividend

The total dividend payment a company makes to its shareholders in a single year.

Dividends

Payments made by a corporation to its shareholder members, distributing a portion of the company's earnings.

Cost of Equity

The return a company requires to decide if an investment meets capital return requirements and can be seen as the opportunity cost of investing capital elsewhere.