Scenario - Jenkins and Jones Corporation Michael Jenkins and Emma

question 1

Multiple Choice

Scenario - Jenkins and Jones Corporation Michael Jenkins and Emma Jones started the Jenkins and Jones Corporation in 1976 in Kansas, USA.  The initial goal of this company was to serve customers throughout the United States.  Since the company's inception it has grown at an outstanding rate.  It now serves online customers as well as customers in ten foreign nations.  Jenkins and Jones is now looked at as the industry's benchmark company due to its superior supply chain management skills.  Its practices and techniques are used by many other organizations in the industry to improve their own supply chain management skills. As the Jenkins and Jones Corporation continues to grow and expand, one of the strategic decisions it must face is that of location of its facilities.  Which one of the following does not relate to the problem of location?  

• A)Minimum efficient scale in comparison to demand
• B)Value-to-weight ratio
• C)Fixed costs
• D)Factor endowments of countries
• E)Number of Internet users

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Definitions:

Baseballs

Spherical balls used in the sport of baseball, typically constructed from cork, rubber, yarn, and leather.

Net Welfare Loss

The decrease in total societal wellbeing and efficiency due to factors such as market failure or government intervention.

Tariff

A levy placed by a government on goods that are brought into or sent out of a country.

Consumer Surplus

Consumer surplus is the difference between the total amount that consumers are willing and able to pay for a good or service and the total amount they actually pay.