The Use of Work Teams Creates the Potential for an Organization

question 63

Multiple Choice

The use of work teams creates the potential for an organization to generate ________.

• A)greater outputs with greater inputs
• B)fewer outputs with fewer inputs
• C)greater outputs with fewer inputs
• D)fewer outputs with greater inputs

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Definitions:

Small Firms

Small firms are businesses with a relatively small number of employees, limited revenue, and a localized operational base, often contributing significantly to innovation and employment.

Economies of Scale

Cost benefits that companies gain from their operation size, where the cost for each unit of production typically falls as the scale expands.

Constant Returns to Scale

A situation in production where increasing all inputs by a certain factor results in output increasing by the same factor.

Average Total Cost

The total cost divided by the quantity of output produced; it includes all variable and fixed costs.