Starbucks Ran a Full-Page Ad in THE WALL STREET JOURNAL

question 71

Multiple Choice

Starbucks ran a full-page ad in THE WALL STREET JOURNAL proclaiming that its baristas can make more than 87,000 possible combinations of an espresso coffee drink. This is an example of:

• A) Combined target market approach.
• B) Mass customization.
• C) Task transfer.
• D) Diversification strategy.
• E) Single target market approach.

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Definitions:

Activity Variance

The difference between the planned activity level and the actual activity level, used in budgeting and costing analyses.

Materials

Raw resources or supplies used in the production of finished goods.

Revenue

The total income generated by a company from its usual business activities, usually from the sale of goods and services to customers.

Spending Variance

A financial metric that indicates the difference between the budgeted or planned amount of spending and the actual amount spent.