Standardization describes what happens when innovation pushes out the efficiency frontier in an industry, allowing for greater value to be offered through superior differentiation at a lower cost than was previously thought possible.

Question

Quizplus · Accepted Answer

Standardization refers to the process of establishing and applying rules, guidelines, or characteristics for activities or their results, aimed at achieving a degree of order or uniformity. It is not directly related to innovation pushing out the efficiency frontier, which is more about technological or process advancements enabling superior differentiation at lower costs.

Standardization Describes What Happens When Innovation Pushes Out the Efficiency