Which Two of the Following Are the Key Reasons Why

question 34

Multiple Choice

Which two of the following are the key reasons why cost efficiency is becoming a threshold strategic capability?

• A) Supplier power increases as product life increases.
• B) Barriers to entry increase as cost decreases.
• C) Customer do not value product features at any price.
• D) Competitive rivalry continually drives down costs.

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Definitions:

Current Distribution

The process or manner by which resources, earnings, or assets are apportioned at the present time.

Cash Plan

A type of health insurance plan that covers everyday medical expenses and provides cash payments for specified conditions or treatment.

Gain-Sharing Plans

A performance-based compensation strategy where employees receive financial benefits from improvements in productivity, efficiency, or profitability within their work unit or organization.

Self-Funding

A method where an organization pays for its own health care costs rather than purchasing a conventional health insurance plan, often used to control costs.