In this case of Ikea‚ they adopted the cost leadership strategy and product differentiation to their business model. In order to maintain cost leadership in the market‚ internal production efficiencies must be greater than that of competitors. Under Ikea’s strategy‚ suppliers are usually located in low-cost nations‚ with close proximity to raw-materials and reliable access to distribution channels. These suppliers produce highly standardized products intended for the global market‚ which size provides
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1. Which of the following persons would occupy a line position in a department store? I. Sales manager II. Manager‚ furniture department III. Manager‚ advertising department IV. Manager‚ personnel department A) Only I B) Only I and II C) Only I‚ II‚ III D) I‚ II‚ III‚ IV 2. The benefits of a successful Just-In-Time system include all of the following except: A) funds tied up in inventories are released for use elsewhere. B) inventory buffers are increased
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ACCOUNTING 226 TEST 1 CH 11-13 NAME DATE ______________________________________ __________ MULTIPLE CHOICE 1.. Companies should ONLY produce and sell units as long as c. the revenue from an additional unit exceeds the cost of producing it. 2. Too high a price may a. deter a customer from purchasing a product. 3. Companies must ALWAYS examine pricing c. through the eyes
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The acquisition of additional business activities at the same level of the value chain is referred to as horizontal integration. This form of expansion contrasts with vertical integration by which the firm expands into upstream or downstream activities. Horizontal growth can be achieved by internal expansion or by external expansion through mergers and acquisitions of firms offering similar products and services. A firm may diversify by growing horizontally into unrelated businesses. Some examples
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uestion 7 1 out of 1 points Answer the question on the basis of the following output data for a firm. Assume that the amounts of all non-labor resources are fixed.Refer to the above data. Diminishing marginal returns become evident with the addition of the:Answer Selected Answer: third worker. Correct Answer: third worker. Question 8 1 out of 1 points Answer the question on the basis of the following output data for a firm. Assume that the amounts of all non-labor resources
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caught: a) What is the marginal product of each hour spent fishing? Hours Kg of fish Marginal product 0 0 10 1 10 8 2 18 6 3 24 4 4 28 2 5 30 c) Use these data to graph the fisherman’s production function. Explain its shape. MPL equals the slope of the production function. The function gets flatter as time increases. c) The fisherman has a fixed cost of € 10 (his fishing rod). The opportunity cost of his time is € 5 per hour. Graph the fisherman’s total cost curve. Explain
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rather‚ they must know the determinants as to which conditions those strategies would be able to give them competitive advantage. The concept of economies of scale is one wherein companies are able to cover fixed costs through broader scale of production. However‚ the problem of fixed costs are solved by managerial and technological progress. This leads to the dissolution of one’s competitive advantage through economies of scale. The concept of economies of scope is one in which firms are able to
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Written analysis and Communication I Assignment 1: Kanpur Confectioneries Private Limited (A) Submitted to Prof. Gita Chaudhuri By Ankita Gupta Roll No. 1410120007 8.11.2014 School of Management and Entrepreneurship Gautam Budh Nagar‚ U.P.‚ 201314 interoffice memorandum to: Mr.ALok GuPta‚ chairman and managing director‚ KCPL from: Ankita Gupta‚ Executiv assistant subject: Report on A-one confectioneries offer date: Scrutinized report for the proposal from A-One confectioneries
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REVIEW QUESTION SET #1 FOR THE MIDTERM EXAM QUESTION 1 (PRODUCTIVITY) ElectroPlus manufactures electronic components. It has recorded data for the last three years as shown in the table below. ElectroPlus Productivity Data (in millions of dollars) 2009 2010 2011 Sales 220 258 248 Materials 124 146 142 Labor 56 66 56 Overhead 16 24 20 a) Calculate a measure of labor productivity for each year and comment on the pattern. b) Calculate a measure of multifactor productivity for each year using
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Ice House Toys Case Study Khalid EL JARRARI Ice House Toys Index of contents Ice House Toys presentation I- Mail-Order Operation and prospects of change I-1 Capacity constraints I-2 Extension of the warehouse capacity I-3 Other ways to overcome capacity constraints I-4 The website impact on operations II- Long-term capacity planning issues III- Alternative purchasing policy IV- Overtime payment V- Appendixes
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