In General,when Substantial Investments in Specialized Assets Are Required to Manufacture

question 16

Multiple Choice

In general,when substantial investments in specialized assets are required to manufacture a component,a firm will:

• A)prefer to make the component internally rather than contract it out to a supplier.
• B)find an alternative method of manufacturing the component.
• C)contract out the production of the component rather than make it internally.
• D)discontinue making the product that the component goes into.

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Definitions:

Artifacts

Objects made or used by humans, often considered in the context of archaeology as items of cultural or historical significance.

Nominal-Kinds

Categories based on names or labels rather than on inherent or natural distinctions.

Natural-Kinds

Categories of objects and entities in the world that are thought to reflect a natural order, often discussed in philosophy and cognitive science.

Social-Kinds

Categories into which social entities are divided into based on shared Characteristics or attributes, often used in discussions of social taxonomy and identity.