Companies typically divide the task of supply and demand so that
A) Marketing manages demand and Operations manages supply.
B) Marketing manages supply and Operations manages demand.
C) Marketing manages demand and supply.
D) Operations manages demand and supply.
Answer: A
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Which of the following is true of variable cost advantage?
A) Scale effect occurs for a manufacturer who doubles production capacity. B) Businesses with a substantial market share advantage generally achieve a higher unit cost. C) As volume increases, the cost per unit generally increases. D) A larger unit volume allows for production that lowers the per-unit manufacturing cost, thereby creating a scope effect. E) As a business builds more of the same product, there is a greater opportunity for scale effects.