When a Firm Does More of Something, It Gets Better

question 244

Multiple Choice

When a firm does more of something, it gets better at it. This learning-by-doing is

• A)a source of diseconomies of scale.
• B)a source of economies of scale.
• C)called the principle of natural progression.
• D)called "spreading the overhead."

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Definitions:

Allocating Resources

The process of assigning available resources in the most efficient way to achieve business goals and objectives.

Total Quality Management (TQM)

An organizational approach that seeks to improve quality and performance to meet or exceed customer expectations through continuous process improvements.

Customer Focus

A strategic orientation that prioritizes the needs and desires of customers in product development, marketing, and service delivery.

Cost Report

A financial report that details the costs associated with a specific project or segment of a business.