The ease of adjusting resources in response to changes in demand defines firm's
A)vertical integration
B)process flexibility
C)customer involvement
D)capital intensity

Question

Quizplus · Accepted Answer

Process flexibility refers to a firm's ability to adjust its resources (equipment, machinery, workforce, etc.) in response to changes in demand. This flexibility allows firms to quickly adapt to changing market conditions, avoid bottlenecks, and reduce costs. Vertical integration refers to a firm's ownership of multiple stages of the supply chain. Customer involvement refers to the extent to which customers are involved in a firm's operations. Capital intensity refers to the ratio of capital (such as machinery and equipment) to labor in a firm's production process.

The Ease of Adjusting Resources in Response to Changes in Demand