When developing the Xbox 360, Microsoft faced all of the following strategic issues, except:
A) the relationship between game and console makers
B) the lack of significant economies of scale
C) needs to develop the capabilities different from those needed in the software business
D) development of a new supply chain

Question

Quizplus · Accepted Answer

Microsoft did not face a lack of significant economies of scale as a strategic issue when developing the Xbox 360. Economies of scale are typically a benefit for large companies like Microsoft, which can leverage their size to reduce costs.

When Developing the Xbox 360, Microsoft Faced All of the Following