The Advent of the "Hub and Spoke" Airline Network Following

question 22

Multiple Choice

The advent of the "hub and spoke" airline network following deregulation is an example of ________.

• A) nature and objectives of service organizations
• B) flexibility
• C) aesthetic factors
• D) land availability and space requirements

---

Definitions:

Safety Stock

An additional quantity of an item held in inventory to reduce the risk of stockouts.

Direct Materials

Raw materials that are directly attributable to the product being manufactured and can be easily identified and measured.

Budgeted Production

The planning of how many units of a product a company aims to produce within a specific period.

Activity-based Budgeting

A budgeting approach based on the activities that incur costs within an organization, focusing on managing business activities that drive costs.