Jade Inc., an automobile company, manages the costs of localization by mass producing standard core components such as the engine. However, it makes these components in such a way that they can be adapted to modified external components that are customized to specific local markets. This ensures a certain extent of economies of scale. Which of the following is exemplified in this case?

Question

Quizplus · Accepted Answer

The case exemplifies design adaptability. Jade Inc. mass produces standard core components, but these components are designed in such a way that they can be adapted to modified external components that are customized to specific local markets. This design adaptability ensures a certain extent of economies of scale.

Jade Inc, an Automobile Company, Manages the Costs of Localization by by Mass