Specialized Bicycle Components, Inc

question 2

Multiple Choice

Specialized Bicycle Components, Inc. introduced the first major production mountain bike in 1980. Two-thirds of its profits come from the sale of mountain bikes. It is recognized worldwide for its ability to design and produce superior mountain bikes. This ability is its___________- .

• A) customer sustainability
• B) organizational advantage
• C) relative competence
• D) distinctive competence
• E) superlative advantage

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Definitions:

Molding

The process of shaping a material by introducing it into a rigid frame called a mold.

Customizing

The process of modifying products or services to meet specific customer demands or preferences.

Manufacturing Cost

The total expense incurred in the production of goods, including raw materials, labor, and overhead.

Predetermined Overhead Rates

Estimated overhead rates used to assign manufacturing overhead costs to products based on a pre-defined basis such as machine hours or labor hours.