Justify capacity expansion using economies of scale

Assignment Help Operation Management
Reference no: EM13899225

Why is it dangerous to justify capacity expansion using economies of scale?

A. It is far too specific to use as a basis for capacity decisions       

B. It requires consideration of quality, dependability and flexibility          

C. Because volume, capacity, and process considerations are looked at individually         

D. Because the common notion that unit costs will decline for larger facilities due to size is not necessarily accurate

Reference no: EM13899225

Questions Cloud

Compute the take times for a system : Compute the take times for a system where the total time per shift is 570 minutes, there is one shift, and workers are given two 14-minute breaks and 35 minutes for lunch. Daily demand is 392 units.
Classroom of christians focus on nice : 1. Are "nice Hindus" Christian? 2. What is missing from the students answers? 3. Why would a classroom of Christians focus on "nice?"
Government should extend same civil rights to terrorism : Explain whether or not the government should extend the same civil rights to terrorism suspects that American citizens enjoy. Provide support for your argument with specific examples of civil rights and liberties. Terrorism suspects may be American o..
Explain access control methods and attacks : Explain access control methods and attacks
Justify capacity expansion using economies of scale : Why is it dangerous to justify capacity expansion using economies of scale?
What they mean by the term market fundamentalism : How the underlying problem is one of the "tragedy of the commons"-see the yellow highlighted sections of the article of this name, that we discussed in class, on Blackboard and what they mean by the term "market fundamentalism"
Different reports on the life of jesus : Christians put a lot of emphasis on the life of Jesus, which is reported through four different sacred writings, the gospels of the New Testament. Why do you think the tradition has four different reports on the life of Jesus?
About the theory of constraints : What is the maximum output this assembly process could produce in 8 hours? If the capacity of Process 1 is increased to 91 units/hour, how many units can be assembled in 8 hours?
Firm save annually in ordering-carrying costs by using EOQ : A produce distributor uses 710 packing crates a month, which it purchases at a cost of $10 each. The manager has assigned an annual carrying cost of 35 percent of the purchase price per crate. Ordering costs are $28. Currently the manager orders once..

Reviews

Write a Review

Operation Management Questions & Answers

  Calculate the point price elasticity of demand

Calculate the point price elasticity of demand and point income elasticity of demand in Town D at the price charged last year.

  What was the first computer that bill gates and paul allen

Who originally owned the rights to the computer Steve Wozniak made, and why did they not take advantage of it? What was the first computer that Bill Gates and Paul Allen tried to write software for? What did they write?

  What would you do in hannas place

What would you do in Hanna's place?

  Define both strategic plan and operational plan

Define both strategic plan and operational plan in terms of "breadth,""time frame," and "specificity." What level of management is more apt to do each type of plan?

  What is the slope

Use trend projection to obtain forecast for years 5 and 6.

  Major strategic issues that the industry faces

What is (are) the major strategic issues that the industry faces? What strategic options does it have to address those specific issues?

  Distinguish between a general benefit and a specific benefit

Distinguish between a general benefit and a specific benefit. Why do customers respond positively to specific benefits?

  Demonstrate each step in communication

Compose a message for your audience using the three- step process outlined in of Business Communication Today. Demonstrate each step in your communication.

  What is the arrival rate

There are currently three cashiers with dedicated lines (single channel system). The customer arrival rate for a line is 10/hr and the service rate is 12/hr. A newly hired manager decides to merge all the times to create a multichannel system.

  Define operational budget for krona community hospital

As a member of the finance team, you have been asked to forecast the upcoming year's operational budget for Krona Community Hospital. Look below for last year's budget. After reviewing specific data, internal input, and external input from various..

  What is your biggest writing challenge

Explain your personal writing process. What has worked for you in your effort to produce quality documents? What is your biggest writing challenge?

  Illustrate what other alternatives could he have considered

With the information he had at the time, illustrate what other alternatives could he have considered. Develop at least two of them.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd