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Discuss the Concept of Just-In-Time (JIT) Manufacturing

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Essay

Discuss the concept of just-in-time (JIT) manufacturing. What is its importance to business?


Definitions:

Marginal Revenue

The additional income from selling one more unit of a good; sometimes equal to the price of the good.

Marginal Cost

The increase or decrease in the total cost that arises from producing one additional unit of a product or service.

Profit

Earnings resulting from conducting business, after subtracting all operational costs, taxes, and expenses from total revenue.

Tacit Collusion

An unspoken, informal agreement among competitors to avoid certain competitive behaviors, like price undercutting.

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