The ____________efers to the systematic reduction in production costs that have been observed to occur over the life of a product.

Question

Quizplus · Accepted Answer

The systematic reduction in production costs that occur over the life of a product is commonly known as the experience curve. This reduction occurs due to various factors such as economies of scale, technological advancements, process improvements, and learning effects. As organizations gain experience in producing a product, they become more efficient and effective, leading to lower costs and higher profitability. Therefore, option A is the correct answer. The other options do not relate to the concept of the experience curve.

The ____________Efers to the Systematic Reduction in Production Costs That