In This Question You Need to Match the Competitive Factor

question 49

Multiple Choice

In this question you need to match the competitive factor that customers value with the performance objective that the operation needs to excel at. If the customers value low price then
The operation will need to excel at:

• A) Dependability
• B) Cost
• C) Quality
• D) Flexibility (mix)
• E) Flexibility (products/service)
• F) Flexibility (volume and/or delivery)
• G) Speed

---

Definitions:

Opportunity Cost

The expense incurred by not selecting the second-best choice during a decision-making process or when evaluating different alternatives.

Full Employment

A situation in an economy where all available labor resources are being used in the most efficient way possible.

Marginal Rate

Often refers to the marginal rate of substitution or marginal rate of transformation in economics, indicating the rate at which one good can be substituted for another.

Transformation

The process of converting inputs into outputs, often relating to the change of raw materials into finished products in the context of production.