A Labor Intensive Production Process Is One in Which

question 148

Multiple Choice

A labor intensive production process is one in which:

• A) a lot of labor is hired relative to the total inputs needed to produce the good.
• B) highly skilled labor is needed to produce the good.
• C) a part of the production process must be done by labor and cannot be substituted.
• D) total costs will be minimized if labor is the primary factor of production used.

---

Definitions:

Delivery Gap

The discrepancy between a company’s service quality specification and the actual service delivered to customers, often leading to customer dissatisfaction.

Communication Gap

A type of service gap; refers to the difference between the actual service provided to customers and the service that the firm’s promotion program promises.

Communication Gap

The difference or misunderstanding that occurs when the message sent is not interpreted by the receiver in the way that the sender intended.

Communications Gap

A mismatch between customers' expectations based on a company's promotional messages and the actual service or product delivered.