Exam 17: Global Production, Outsourcing, and Logistics

RSA is a bicycle manufacturing company. Which of the following is a make-or-buy decision that the company will have to make?

The idea that valuable knowledge does not reside just in a firm's domestic operations but can also be found in its foreign subsidiaries is called _____.

Upward migration in the strategic role of foreign production sites arises when they upgrade their own capabilities.

Just-in-time systems help a firm respond quickly to increases in demand.

With a(n) _____ system, suppliers, shippers, and the purchasing firm can communicate with each other with no time delay.

How does the type of technology a firm uses affect its decision of where to locate production?

Concentration of production is appropriate when _____.

Just-in-time systems reduce product quality although it brings about huge cost savings.

The minimum efficient scale of production is high when fixed costs are low.

Which of the following is a major source of the improvement in the capabilities of a foreign site?

Explain how companies using JIT systems can reduce risks associated with a global supply chain that operates on just-in-time principles.

The term _____ has been coined to describe the ability of companies to use flexible manufacturing technology to reconcile the goals of low cost and product personalization.

Which of the following is a hidden cost associated with basing production in a foreign location?

Which of the following statements is true of the country factors that govern international business?

Identify an advantage of adopting a low minimum efficient scale.

Which of the following products will most likely have high value-to-weight ratios?

At Six Sigma, a production process would be highly accurate and create just _____.

The firm that improves its quality control will also reduce its costs of value creation.

A(n) _____ is a grouping of various types of machinery, a common materials handler, and a centralized cell controller.

Explain how the concept of production efficiency has changed with the rise of flexible manufacturing technologies.