The Business Strengths Dimension of the GE Grid Focuses On

question 339

Multiple Choice

The business strengths dimension of the GE grid focuses on:

• A) market diversity.
• B) the question: Does this product-market plan look like a good idea?
• C) the ability of the company to pursue a product-market plan effectively.
• D) industry profitability.
• E) the social and legal environment.

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Definitions:

Direct Material

Raw materials that are consumed in the manufacturing process, directly incorporated into the finished product.

Variable Manufacturing Costs

Expenses that change in proportion to the manufacturing output, including costs related to direct labor, materials, and manufacturing overhead that fluctuates with production volume.

Operating Income

Earnings from a company's core business operations, excluding expenses and revenues from non-operating activities.

Fixed Overhead

The set costs associated with operating a business that does not change in relation to production volume, such as rent, salaries, and insurance.