The statement,"A disadvantage of vertical integration is that by pooling demand for parts from a number of companies, a supplier may be able to enjoy economies of scale that result in higher quality and lower cost than if every company makes its own parts" is True
.
<u>Explanation:
</u>
The drawback to vertical integration is that a producer can have economies of scale, and incorporate demand for components from certain companies and therefore improve quality and cost in contrast with the production of their own products by each company.
Market power is a framework in which an organization manages the microeconomics and administration supply chain. In general, a supply chain leader creates another goods or services and the products satisfy a certain criteria.
A retailer such as Wal-Mart, which has its own products, is an example of vertical integration. This owns the inventory, manages the distribution and is the seller. Because it splits the guy in between, the company will deliver a much lower price, such as the brand name drug.
The description above is trying to define the
undifferentiated marketing strategy as this strategy focuses more on things
that will appear to the people, what will make people more attracted and feel
more appealed on what they are selling or trying to promote in which they try
to ignore the market segmentation. The undifferentiated marketing strategy
focuses more on the whole market with just one offer and they tend to use more
marketing strategies that will be of beneficial to them in terms of attracting
the consumers for this is their main goal and what they focus more when this
marketing strategy is being used in the business or marketing field.
Answer:
What to produce?
Explanation:
A society has to make choices in order to meet the diverse needs of its members. The resources available in all economies are insufficient to meet all needs. Because of this scarcity, a society has to make informed decisions on what to produce at any given.
Societies make choices on what to produce with the available resource. In every decision, there is a sacrifice to be made.
Answer:
Conversion costs: d. $384,200
Explanation:
Conversion costs are the costs incurred on activities that convert raw material to finished goods. Conversion costs are calculated by using following formula:
Conversion costs = Direct labor + Factory overhead.
In the case: Direct labor are $196,300; Factory overhead are $187,900
Therefore:
Conversion costs = $196,300 + $187,900 = $384,200
