How Can Firms Constructively React to Overcapacity

question 42

Multiple Choice

How can firms constructively react to overcapacity?

• A)Firms can invest to modernize facilities and production facilities.
• B)Firms can merge with firms that need addition capacity so that the capacity of the two firms balances out.
• C)Firms can identify unproductive or underproductive assets and obtain the salvage value of those assets.
• D)Firms can offshore or outsource to rid themselves of overcapacity.

Comprehend the impact of group dynamics on decision-making efficacy, including the effects of shared mental models and groupthink.

Identify the phases and best practices in group decision-making processes.

Analyze the effects of group composition and interaction on problem-solving efficiency and decision accuracy.

Appreciate the role of collective memory and information processing in groups compared to individual abilities.

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Definitions:

Professional Development

The continuous process of acquiring new knowledge, skills, and abilities that improve an individual's job performance and career prospects.

Efficiency

The ability to accomplish a task or job with a minimum expenditure of time and resources.

Standardization of Work Processes

The practice of establishing uniform procedures and criteria for tasks and operations within an organization to increase efficiency and consistency.

Direct Supervision

A management style where a supervisor closely oversees and controls the work of their subordinates.