Activities That Are Involved in Producing a Company's Products and Services

question 108

Multiple Choice

Activities that are involved in producing a company's products and services and how these activities are linked together are often referred to as

• A) value chains.
• B) supply chains.
• C) organization design.
• D) operations management.
• E) logistics.

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Definitions:

Price Floor

A government or regulatory-imposed minimum price for a good or service, intended to ensure that the market price does not fall below a certain level.

Surplus

The amount of a product or resource that exceeds the amount actually utilized or demanded.

Binding Minimum Wage

A government-set minimum wage that is above the equilibrium wage, potentially leading to unemployment because the quantity of labor supplied exceeds the quantity demanded.

Labor Demanded

The total number of workers that employers are willing and able to hire at a given wage rate in a certain period of time.