For the Compact Disc Industry, the Advent of MP3 Technology

question 13

Multiple Choice

For the compact disc industry, the advent of MP3 technology can best be described as what type of innovation?

• A) Disruptive innovation
• B) Service innovation
• C) Productive innovation
• D) Restructuring innovation
• E) Reverse innovation

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Definitions:

Rent Expense

The cost incurred for leasing or renting property or equipment for business use.

Factory Overhead

Indirect costs associated with manufacturing, including utilities, rent, and maintenance, that cannot be directly traced to a product.

Materials Not Traceable

Materials used in a production process that cannot be directly linked to a specific product, often considered as part of overhead.

Indirect

Referring to something not directly expressed or done in a straightforward way, often used in the context of costs not directly tied to a specific product or service.