A Company Is Said to Have What Type of Strategic

question 14

Multiple Choice

A company is said to have what type of strategic fit when businesses can perform better together than apart because of potential cost savings in sharing the same warehouse facilities or using many of the same wholesale distributors and retail dealers to access customers?

• A) A strategic fit in sales and marketing activities.
• B) A strategic fit in customer service activities.
• C) A distribution-related strategic fit.
• D) A manufacturing-related strategic fit.
• E) A strategic fit in R&D and technology activities.

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Definitions:

Raw Materials

Basic substances in their natural, modified, or semi-processed states used as inputs for manufacturing finished goods.

Labour

The effort exerted by humans, encompassing both physical and mental activities, in the creation of goods and services.

Cost Structure

The composition of a company's costs, including fixed and variable costs, that determines how it spends money on its operations.

Minimum Quantities

The smallest amount or number of items that must be purchased, produced, or kept in inventory.