Firms seeking to compete on the basis of cost leadership particularly need support from the ______ and ______ functions.
A) finance; accounting
B) manufacturing; process R&D
C) product R&D; marketing
D) management information; finance

Question

Quizplus · Accepted Answer

Firms seeking to compete on the basis of cost leadership need support from the manufacturing and process R&D functions. These functions help to reduce costs by improving efficiency and productivity in manufacturing processes, and by developing new and innovative methods for producing goods and services at lower costs. Finance and accounting functions are also important for cost management, but they are not as directly involved in improving manufacturing processes and reducing production costs. Product R&D and marketing are more focused on differentiation and innovation strategies, rather than cost leadership. Management information systems are also important, but they are not as critical as manufacturing and process R&D for achieving cost leadership.

Firms Seeking to Compete on the Basis of Cost Leadership