CompCo Wants to Bring Radical Change to the Current Skills

question 73

True/False

CompCo wants to bring radical change to the current skills that exist in the organization so they are going to employ concentration strategies.

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Definitions:

Marginal Cost

The added cost resulting from the manufacture of one more unit of a product or service.

Variable Input

A factor of production whose quantity can be changed easily and flexibly by a firm in the short run to adjust output levels.

Average Variable Cost

The total variable cost divided by the quantity of output produced; it shows the variable cost per unit of output.

Marginal Product

The extra output generated from the inclusion of one additional unit of a particular input while maintaining all other inputs unchanged.