Company X is increasing production by adding more employees to its workforce and scaling up its existing facilities.Company X is essentially increasing its productivity.

Question

Quizplus · Accepted Answer

Increasing production by adding more employees and scaling up facilities indicates an increase in production capacity, not necessarily an increase in productivity. Productivity refers to the efficiency of production, typically measured as output per unit of input (e.g., per worker or per hour worked), and simply increasing inputs (workers, facilities) does not inherently increase this efficiency.

Company X Is Increasing Production by Adding More Employees to Its