In an Industry Where Nearly Every Major Player Outsources Manufacturing

question 62

Multiple Choice

In an industry where nearly every major player outsources manufacturing to low-cost countries, Zara is highly _____, keeping huge swaths of its production process in-house.

• A) privatized
• B) vertically integrated
• C) publicly traded
• D) subsidized
• E) autonomous

---

Definitions:

Continuous Innovations

Ongoing updates and improvements to products, services, or processes that are aimed at sustaining competitiveness and meeting evolving market demands.

Incremental Innovations

Minor improvements or updates made to a product or service to enhance its usage or appeal without drastically changing it.

Kano Model

A theory for product development and customer satisfaction which categorizes customer preferences into delighters, satisfiers, and basic needs.

Customer Value Frontier

Refers to the maximum amount of value a company can deliver to its customers at a given cost, balancing customer satisfaction and company profitability.