Dell's Factories Can Assemble a Complete PC in 3 Minutes

question 28

Multiple Choice

Dell's factories can assemble a complete PC in 3 minutes.With a build-to-order strategy at the heart of its business model,Dell's sales staff maintains close ties with customers.This approach represents which aspect of the Porter's five forces model?

• A) rivalry among competitors
• B) bargaining power of buyers
• C) threat of substitute products
• D) threat of new entrants
• E) bargaining power of suppliers

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Definitions:

Indirect Materials

Materials used in the production process that cannot be directly linked to a specific product, such as lubricants for machines.

Completed Goods

Products that have undergone the entire production process and are ready for sale.

Process Cost Summary

A process cost summary outlines the costs associated with each step of a manufacturing process, detailing the expenses for materials, labor, and overhead for each process stage.

Work in Process

Inventory that includes materials that are currently being processed into finished goods but are not yet complete.