Question 1

Currency appreciation can transform a low-cost location into a high-cost location.

Accepted Answer

A) True 
 B)False

Question 2

Concentration of production makes most sense when

Accepted Answer

A)  trade barriers are low.
B)  the product's value-to-weight ratio is low.
C)  important exchange rates are volatile.
D)  flexible manufacturing technology does not exist.
E)  the production technology has low fixed costs.

Question 3

_____ is a hidden cost to basing production in a foreign location.

Accepted Answer

A)  Low employee turnover
B)  Low labor costs
C)  Poor product quality
D)  Expensive higher education system
E)  Low inventory turnover

Question 4

Mass customization reconciles the two goals of

Accepted Answer

A)  centralized production and long production runs.
B)  product standardization and economies of scale.
C)  high fixed costs and multiple production facilities.
D)  low cost and product customization.
E)  local responsiveness and decentralized production.

Question 5

Which of the following is true of products with high value-to-weight ratios?

Accepted Answer

A)  They are expensive to transport.
B)  They tend to increase in weight after processing.
C)  They tend to be restricted under trade barriers.
D)  They are expensive and do not weigh very much.
E)  They have a low inventory turnover.

Question 6

Rinker Audio Products wants to enter the European market but realizes that European consumer tastes are not uniform across countries.To be able to accommodate demands for local responsiveness,Rinker should

Accepted Answer

A)  ignore national differences in consumer tastes and preferences.
B)  decentralize production activities to the major national or regional markets.
C)  ensure that the manufacturing processes in all units are identical.
D)  standardize the product coming out of all manufacturing units.
E)  refrain from hiring host country managers.

Question 7

In recent years,time-based competition has become less important in international business.

Accepted Answer

A) True 
 B)False

Question 8

When a company achieves mass customization via flexible manufacturing technologies,it increases the company's

Accepted Answer

A)  cost structure.
B)  waste.
C)  customer responsiveness.
D)  learning effects.
E)  externalities.

Question 9

A product's value-to-weight ratio affects location decisions primarily because of its influence on

Accepted Answer

A)  transportation costs.
B)  shelf life.
C)  work-in-progress inventory.
D)  inventory turnover.
E)  capacity utilization.

Question 10

Which of the following products is best manufactured in multiple locations close to major markets to reduce transportation costs?

Accepted Answer

A)  pharmaceuticals
B)  petroleum products
C)  books
D)  magazines
E)  electronics

Question 11

The drawback of a just-in-time inventory system is that it leaves a firm with excess unsold inventory that it has to write off against earnings or price low to sell.

Accepted Answer

A) True 
 B)False

Question 12

How does a firm's decision regarding the location of its production facilities vary based on the availability of flexible manufacturing technologies?

Accepted Answer

Other things being equal,when fixed cost...

Question 13

As the global market for hearing products has become extremely competitive in recent months,Rinker Audio Products' newly appointed CFO,Neha Patel believes that the company should address its minimum efficient scale and attempt to lower it.Which of the following is a consequence of a low minimum efficient scale?

Accepted Answer

A)  preventing a firm from utilizing capital equipment fully
B)  necessitating centralized production in a single location or a limited number of locations
C)  preventing a firm from accommodating demands for local responsiveness
D)  increasing the unit cost of products
E)  allowing a firm to hedge against currency risk by manufacturing the same product in several locations

Question 14

What is the role of information technology and the Internet in modern materials management?

Accepted Answer

Web- and cloud-based information systems...

Question 15

Discuss the advantages and the disadvantages of just-in-time (JIT)inventory systems.

Accepted Answer

The basic philosophy behind just-in-time...

Question 16

Which of the following is the process of planning,implementing,and controlling the efficient,cost-effective flow of raw materials,in-process inventory,finished goods,and related information from the point of consumption to the point of origin for the purpose of recapturing value or proper disposal?

Accepted Answer

A)  just-in-time inventory system
B)  reverse logistics
C)  upstream system
D)  downstream system
E)  total Quality Management (TQM)

Question 17

With flexible manufacturing technologies,a firm can manufacture products customized to various national markets at a single factory sited at the optimal location but will nevertheless incur a significant cost penalty.

Accepted Answer

A) True 
 B)False

Question 18

_____ was pioneered by Japanese firms during that country's remarkable economic transformation during the 1960s and 1970s.

Accepted Answer

A)  Lean production
B)  Flexible manufacturing technology
C)  Dynamic capabilities
D)  Just-in-time inventory systems
E)  Global learning

Question 19

Which of the following refers to a logistics system designed to deliver parts to a production process as they are needed,not before?

Accepted Answer

A)  inventory information system
B)  basket trading system
C)  buffer stock system
D)  just-in-time inventory system
E)  real-time processing system

Question 20

In terms of Six Sigma,the higher the number of "sigmas," the greater the number of errors.

Accepted Answer

A) True 
 B)False

Exam 15: Global Production and Supply Chain Management

How does a firm's decision regarding the location of its production facilities vary based on the availability of flexible manufacturing technologies?

Correct Answer
verified
Other things being equal,when fixed cost...
View Answer

Correct Answer
verified

_____ is a hidden cost to basing production in a foreign location.

Correct Answer
verified

What is the role of information technology and the Internet in modern materials management?

Correct Answer
verified
Web- and cloud-based information systems...
View Answer

When a company achieves mass customization via flexible manufacturing technologies,it increases the company's

Correct Answer
verified

With flexible manufacturing technologies,a firm can manufacture products customized to various national markets at a single factory sited at the optimal location but will nevertheless incur a significant cost penalty.

Correct Answer
verified

Discuss the advantages and the disadvantages of just-in-time (JIT)inventory systems.

Correct Answer
verified
The basic philosophy behind just-in-time...
View Answer

In terms of Six Sigma,the higher the number of "sigmas," the greater the number of errors.

Correct Answer
verified

The drawback of a just-in-time inventory system is that it leaves a firm with excess unsold inventory that it has to write off against earnings or price low to sell.

Correct Answer
verified

Mass customization reconciles the two goals of

Correct Answer
verified

Which of the following is true of products with high value-to-weight ratios?

Correct Answer
verified

_____ was pioneered by Japanese firms during that country's remarkable economic transformation during the 1960s and 1970s.

Correct Answer
verified

In recent years,time-based competition has become less important in international business.

Correct Answer
verified

Currency appreciation can transform a low-cost location into a high-cost location.

Correct Answer
verified

Which of the following refers to a logistics system designed to deliver parts to a production process as they are needed,not before?

Correct Answer
verified

Concentration of production makes most sense when

Correct Answer
verified

Rinker Audio Products wants to enter the European market but realizes that European consumer tastes are not uniform across countries.To be able to accommodate demands for local responsiveness,Rinker should

Correct Answer
verified

Which of the following is the process of planning,implementing,and controlling the efficient,cost-effective flow of raw materials,in-process inventory,finished goods,and related information from the point of consumption to the point of origin for the purpose of recapturing value or proper disposal?

Correct Answer
verified

Which of the following products is best manufactured in multiple locations close to major markets to reduce transportation costs?

Correct Answer
verified

A product's value-to-weight ratio affects location decisions primarily because of its influence on

Correct Answer
verified

Exam 15: Global Production and Supply Chain Management

How does a firm's decision regarding the location of its production facilities vary based on the availability of flexible manufacturing technologies?

Correct AnswerverifiedOther things being equal,when fixed cost...View AnswerShow Answer

Correct AnswerverifiedShow Answer

_____ is a hidden cost to basing production in a foreign location.

Correct AnswerverifiedShow Answer

What is the role of information technology and the Internet in modern materials management?

Correct AnswerverifiedWeb- and cloud-based information systems...View AnswerShow Answer

When a company achieves mass customization via flexible manufacturing technologies,it increases the company's

Correct AnswerverifiedShow Answer

With flexible manufacturing technologies,a firm can manufacture products customized to various national markets at a single factory sited at the optimal location but will nevertheless incur a significant cost penalty.

Correct AnswerverifiedShow Answer

Discuss the advantages and the disadvantages of just-in-time (JIT)inventory systems.

Correct AnswerverifiedThe basic philosophy behind just-in-time...View AnswerShow Answer

In terms of Six Sigma,the higher the number of "sigmas," the greater the number of errors.

Correct AnswerverifiedShow Answer

The drawback of a just-in-time inventory system is that it leaves a firm with excess unsold inventory that it has to write off against earnings or price low to sell.

Correct AnswerverifiedShow Answer

Mass customization reconciles the two goals of

Correct AnswerverifiedShow Answer

Which of the following is true of products with high value-to-weight ratios?

Correct AnswerverifiedShow Answer

_____ was pioneered by Japanese firms during that country's remarkable economic transformation during the 1960s and 1970s.

Correct AnswerverifiedShow Answer

In recent years,time-based competition has become less important in international business.

Correct AnswerverifiedShow Answer

Currency appreciation can transform a low-cost location into a high-cost location.

Correct AnswerverifiedShow Answer

Which of the following refers to a logistics system designed to deliver parts to a production process as they are needed,not before?

Correct AnswerverifiedShow Answer

Concentration of production makes most sense when

Correct AnswerverifiedShow Answer

Rinker Audio Products wants to enter the European market but realizes that European consumer tastes are not uniform across countries.To be able to accommodate demands for local responsiveness,Rinker should

Correct AnswerverifiedShow Answer

Which of the following is the process of planning,implementing,and controlling the efficient,cost-effective flow of raw materials,in-process inventory,finished goods,and related information from the point of consumption to the point of origin for the purpose of recapturing value or proper disposal?

Correct AnswerverifiedShow Answer

Which of the following products is best manufactured in multiple locations close to major markets to reduce transportation costs?

Correct AnswerverifiedShow Answer

A product's value-to-weight ratio affects location decisions primarily because of its influence on

Correct AnswerverifiedShow Answer

Correct Answer
verified
Other things being equal,when fixed cost...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Web- and cloud-based information systems...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The basic philosophy behind just-in-time...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified