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Suppose That Caterpillar Has Invested in an Extensive Network of Dealers

Question 34

Multiple Choice

Suppose that Caterpillar has invested in an extensive network of dealers and parts depots around the world to service its heavy equipment with the aim of making spare parts available within 48 hours or less when a piece of equipment breaks down. Komatsu, Caterpillar's rival, can reasonably substitute for this parts availability resource by


A) building its own network of parts depots and equipment dealers.
B) making heavy equipment that simply never breaks down.
C) sending spare parts by way of overnight delivery from just one or a few parts depots.
D) including a complete package of spare parts with every piece of equipment that it sells.

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