An Operation That Strives to Achieve the Highest Possible Productivity

question 8

Multiple Choice

An operation that strives to achieve the highest possible productivity and total quality, cost-effectively, by eliminating unnecessary steps in the production process and continually striving for improvement is known as:

• A) lean manufacturing.
• B) continuous processing.
• C) mass customization.
• D) total quality management.
• E) just-in-time.

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Definitions:

Profit-Maximizing Output

The level of production at which a firm achieves the highest possible profit, determined by the point where marginal cost equals marginal revenue.

Purely Competitive Market

Describes a theoretical market structure featuring many buyers and sellers of a homogeneous good or service, with no single party able to manipulate prices due to the absence of market control.

Cost Data

Information about the expenses incurred in the production of goods or services.

Market Price

The price at which a good or service is offered in the marketplace.