_____ Refers to a Process by Which a Product, Service

question 117

Multiple Choice

_____ refers to a process by which a product, service, or business model takes root initially in simple applications at the bottom of a market and then moves "up market," eventually displacing established competitors.

• A) Reverse mentoring
• B) Concentric diversification
• C) Strategic liquidation
• D) Disruptive innovation
• E) Crowdsourcing

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Definitions:

Direct Materials

Substances that can be directly linked to the manufacturing of a particular item.

Direct Labor

Labor costs that can be easily traced to individual units of product; essentially the wages paid to workers who directly manufacture goods.

Manufacturing Overhead

All indirect manufacturing costs, including but not limited to utilities, rent, and salaries of supervisors.

Direct Materials Cost

The expense incurred for raw materials that are directly traceable to the production of specific goods or services.