As a Barrier to New Entry, Absolute Cost Advantages Can

question 17

Multiple Choice

As a barrier to new entry, absolute cost advantages can be based on:

• A) continuous advertising of brand and company names, and product innovation achieved through research and development.
• B) high product quality, service-oriented innovations, and good after-sales service.
• C) cost reductions that arise from the mass production of standardized output.
• D) the unique ability of established companies to spread fixed costs over a large volume.
• E) superior production operations and processes due to accumulated experience, patents, or trade secrets.

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Definitions:

Feedforward Control

A type of control that focuses on the regulation of inputs (resources, materials, etc.) to prevent future problems.

Feedback Control

A management process involving the collection and analysis of information about a completed activity, then using that information to adjust future actions and improve performance.

Feedback Control

A process wherein adjustments are made based on the differences between the actual outcome and the desired performance.

Feedback Control

A process or system that uses feedback to regulate, control, or adjust its actions to achieve desired outcomes.