The Grupthink Vignette from the Text Uses Customer Co-Creation in What

question 11

Multiple Choice

The Grupthink vignette from the text uses customer co-creation in what way?

• A)Grupthink emails surveys to competitors to gauge their level of co-creation.
• B)Grupthink functions as a feedback community for their own business as well as others.
• C)Twice annually,Grupthink holds virtual focus groups to discuss applications for their innovation.
• D)Grupthink uses social networking sites such as Facebook,Myspace,and Twitter to obtain feedback.
• E)Grupthink sells capabilities to hold virtual meetings where customers are interviewed in regards to their experience with certain products.

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Definitions:

Contribution Margin

The amount remaining from sales revenue after variable costs have been deducted, indicating how much contributes to covering fixed costs and generating profit.

Manufacturing Margin

The difference between the sales revenue generated from manufactured goods and the cost of goods sold (COGS), highlighting the profitability of manufacturing activities.

Variable Costing

An accounting method that includes only variable production costs (direct materials, direct labor, and variable manufacturing overhead) in product costs and treats fixed manufacturing overhead as a period cost.

Operating Income

Income generated from regular business operations, excluding revenues and expenses from non-operating activities.