An entrepreneur is planning to start a factory to produce high-tech plastic containers in high volumes.She will use either an assembly line or batch process and has selected two possible sites,one in a small town and one in a big city.She has discovered the following: $$\begin{array}{l}
\begin{array} { l l l }
&\text { Small Town}& City \
\text { Capital } & \text { Not readily available } & \text { Readily available } \
\text { Labor } & \text { Unskilled available } & \text { All types of labor } \
\text { Market } & \text { Small } & \text { Large }
\end{array}
\end{array}$$ Based on the information just presented,which of the following should be chosen?
A)Assembly line in city
B)Assembly line in small town
C)Batch process in city
D)Batch process in small town

Question

An entrepreneur is planning to start a factory to produce high-tech plastic containers in high volumes.She will use either an assembly line or batch process and has selected two possible sites,one in a small town and one in a big city.She has discovered the following: $$\begin{array}{l}
\begin{array} { l l l } 
&\text { Small Town}& City \
\text { Capital } & \text { Not readily available } & \text { Readily available } \
\text { Labor } & \text { Unskilled available } & \text { All types of labor } \
\text { Market } & \text { Small } & \text { Large }
\end{array}
\end{array}$$ Based on the information just presented,which of the following should be chosen?
A)Assembly line in city
B)Assembly line in small town
C)Batch process in city
D)Batch process in small town

Quizplus · Accepted Answer

The city offers readily available capital, all types of labor, and a large market, which are ideal conditions for an assembly line that requires significant investment and a large market to justify high-volume production.

An Entrepreneur Is Planning to Start a Factory to Produce