Operations Management: Processes And Supply Chains (12th Edition) (what's New In Operations Management)
12th Edition
ISBN: 9780134742205
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Question
Chapter 4, Problem 2DQ
Summary Introduction
Interpretation:Conditions that lead diseconomies of scale are to be determined.
Concept introduction: A young boy opens a lemonade stand on a street corner. This intersection is near a large university campus and a major construction site. Firstly, the boy's timing is stop on since temperatures are expected to reach 100° Fin the next few days. Also, his location is excellent for the business as he can expect a large volume of customers from both the construction site as well as the university
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
A young boy sets up a lemonade stand on the corner of College Street and Air Park Boulevard. Temperatures in the area climb to 100°F during the summer. The intersection is near a major university and a large construction site. Explain to this young entrepreneur how his business might benefitfrom economies of scale. Explain also some conditions that might lead to diseconomies of scale
Give typing answer with explanation and conclusion
manufacturing company is considering producing a new product. The variable cost of the new product is $60 per unit, and the total fixed costs are $75,000 for a month. The company could produce 1500 units per month, and sell the product for $125 each. What unit sales would result in a net income of $16,000?
Give me a narrow title for a feasibility study. Im an agricultural business management student from the Phillipines.
Chapter 4 Solutions
Operations Management: Processes And Supply Chains (12th Edition) (what's New In Operations Management)
Ch. 4 - Prob. 1DQCh. 4 - Prob. 2DQCh. 4 - The Dahlia Medical Center has 30 labor rooms, 15...Ch. 4 - A process currently services an average of 50...Ch. 4 - An airline company must plan its fleet capacity...Ch. 4 - Food Goblin Supermarkets use both cashiers and...Ch. 4 - Returning to Problem 4, under both assumption of...Ch. 4 - Purple Swift manufactures birdhouses in lots of...Ch. 4 - Macon Controls produces three different types of...Ch. 4 - Up, Up, and Away is a producer of kites and wind...
Ch. 4 - Tuff-Rider, Inc. manufactures touring bikes and...Ch. 4 - Arabelle is considering expanding the floor area...Ch. 4 - The Astro World amusement park has the opportunity...Ch. 4 - Kim Epson operates a full-service car wash, which...Ch. 4 - MKM International is seeking to purchase a new CNC...Ch. 4 - Prob. 17PCh. 4 - Prob. 18PCh. 4 - Prob. 19PCh. 4 - Dawson Electronics is a manufacturer of high-tech...Ch. 4 - A manager is trying to decide whether to buy one...Ch. 4 - Acme Steel Fabricators experienced booming...Ch. 4 - Referring to Problem 7, the operations manager at...Ch. 4 - Darren Mack owns the Gas n’ Go convenience store...Ch. 4 - Prob. 25PCh. 4 - Prob. 1VCCh. 4 - Prob. 2VCCh. 4 - How does Southwest Airlines know they are...Ch. 4 - Prob. 4VCCh. 4 - Prob. 1CCh. 4 - Prob. 2CCh. 4 - Prob. 3C
Knowledge Booster
Similar questions
- Explain the concept of economies of scale. Describe an example of how this can be achievedarrow_forwardEco Hub is an ecopreneur business idea that will soon produce and sell eco-friendly bags, T-shirts and other accessories. This is owned by Ella and Connie, who are environmental advocates. They only have Php 250,000 starting capital. They need your suggestions and brilliant business ideas in terms of how the 4Ms will be put into play. 1. What appropriate methods in manufacturing and selling would you suggest for them? 2. How many manpower should they hire? Specify their qualifications and their job position. 3. What machine/s should they acquire for the business? Why is/are it/they needed? 4. What materials would you suggest for them? Who would be the possible supplier?arrow_forwardPlease send the 5th sub parts until the last onearrow_forward
- please answer quickarrow_forwardA firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the appliance from a vendor at $7 each or to produce them in-house. Either of two processes could be used for in-house production; one would have an annual fixed cost of $160,000 and a variable cost of $5 per unit, and the other would have an annual fixed costof $190,000 and a variable cost of $4 per unit. Determine the range of annual volume for which each of the alternatives would be best.arrow_forwardService operations often face more difficulty in planning than their manufacturing counterparts.However, service does have certain advantages that manufacturing often does not. Explain serviceplanning difficulty, and the advantages and disadvantages.arrow_forward
- What are the economies of scale in college class size? As class size increases, what symptoms of diseconomies of scale appear? How are these symptoms related to customer contact?arrow_forwardA biotech firm is considering abandoning its old plant, built 23 years ago, andconstructing a new facility that has 50% more square footage. The original cost of the old facility was $300,000, and its capacity in terms of standardizedproduction units is 250,000 units per year. The capacity of the new laboratoryis to be 400,000 units per year. During the past 23 years, costs of laboratoryconstruction have risen by an average of 5% per year. If the cost-capacity factor, based on square footage, is 0.80, what is the estimated cost of the newlaboratory?arrow_forwardshow the solutionarrow_forward
- sniparrow_forwardPlease do not give solution in image format thanku Bob's candle factory is considering three different manufacturing options. Option A uses hand labor with fixed costs of $10,000 and variable costs of $2.75/candle. Option B uses a combination of hand and automation with fixed costs of $15,000 and variable costs of $1.10/candle. Option C is highly automated with fixed costs of $20,000 and variable costs of $0.75/candle. a. If demand for Bob's candles is 2500, which option should he pick, and what is the cost? b. If demand for Bob's candles is 4500 which option should he pick, and what is the cost?arrow_forwardAlibaba International Academy is considering changes to its class structure in an effort to increase inviting lecturer productivity. The initial schedule had each inviting lecturer teaching five classes per week, with each class meeting in an hour per day on Wednesday, Thursday and Saturday. Each class consist of 25 students. The new schedule has each inviting lecturer teaching only three classes, but each class meets daily on Monday until Friday for an hour. New classes will contain 55 students. 1. Calculate the inviting lecturer productivity for the initial 2. Calculate the inviting lecturer productivity for the changed 3.. Suppose that each inviting lecturer also is required to have two hours of consultation time each dayafter his/her Is this schedule changed will increase or decline current productivity? What is the percentage?arrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,
Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage Learning
Production and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,
Operations Management
Operations Management
ISBN:9781259667473
Author:William J Stevenson
Publisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...
Operations Management
ISBN:9781259666100
Author:F. Robert Jacobs, Richard B Chase
Publisher:McGraw-Hill Education
Purchasing and Supply Chain Management
Operations Management
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Cengage Learning
Production and Operations Analysis, Seventh Editi...
Operations Management
ISBN:9781478623069
Author:Steven Nahmias, Tava Lennon Olsen
Publisher:Waveland Press, Inc.