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What are the organisational differences in operations?
Organisational differences in operations are as follows:
a. Degree of volume which can be produced for example, standardisation and mass production can lower unit cost.
b. Degree of variety needed through the process for example to flexibility match services or products to customer demand levels.
c. Demand variation for example seasonal demand could exist.
d. Customer visibility for example the level of visibility through a customer while an operation is performed, generally when services are performed, you can’t separate the person through the service being given.
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Why do firms engage in FDI when alternatives such as exporting and licensing are available? How do location-specific advantages influence organisational decisions on FDI?
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