Modular Production Can Best Be Described by Which of the Following

question 52

Multiple Choice

Modular production can best be described by which of the following?

• A) It can be used only with mass production strategies.
• B) It involves breaking a complex product, service, or process into smaller pieces that can be created independently and then combined quickly to make a whole.
• C) It cannot be used with mass customization strategies.
• D) It typically increases the cost of developing innovative products.

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Definitions:

Demand Function

A mathematical expression that shows the relationship between the quantity of a good that consumers are willing and able to purchase and its price, along with other determinants of demand.

Profit-Maximizing

The process or strategy by which a firm determines the price and output level that returns the greatest profit.

Monopolist

A market participant that is the sole provider of a good or service, giving them significant control over pricing and market conditions.

Variable Costs

Expenses that change in proportion to the activity of a business.