In order to compete effectively, standard-cycle firms need
A) organizational slack.
B) economies of scale.
C) first mover capability.
D) innovative products.

Question

Quizplus · Accepted Answer

Standard-cycle firms compete on cost and rely on economies of scale to achieve low costs. Organizational slack may be beneficial for flexibility, but it is not essential for competition in a standard-cycle industry. First mover capability and innovative products are also not critical in standard-cycle industries, as these firms typically focus on producing existing products efficiently rather than creating something entirely new.

In Order to Compete Effectively, Standard-Cycle Firms Need