Netflix Creates a Unique Recommendation Listing for Each Customer That

question 190

Multiple Choice

Netflix creates a unique recommendation listing for each customer that revisits its website.How would you classify Netflix's ebusiness strategy?

• A)information richness
• B)mass customization
• C)personalization
• D)interactivity

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Definitions:

Returns to Scale

The rate at which output increases in response to proportional increases in all inputs or resources, reflecting the production efficiency of a firm.

Long-Run Average Total Cost

The per unit cost of production in the long run, where all inputs, including capital, are variable.

Slope

The measure of the steepness, incline, or grade of a line, often calculated as the ratio of the vertical change to the horizontal change.

Diseconomies of Scale

Occur when a company or business grows so large that the costs per unit increase.