Why is the level of fixed costs important to technological factors?

-

Why is the level of fixed costs important to technological factors?




Answer:

- If fixed costs are high, produce in a single location or a few locations
- When fixed costs are low, multiple production plants may be possible
- Allows firms to respond to local demand

Comments

Post a Comment

Popular posts from this blog

What is JAD and how are users involved? What are advantages and disadvantages of JAD?

-
What is JAD and how are users involved? What are advantages and disadvantages of JAD? Joint application development, is a popular fact finding technique that brings users into the development process as active participants. Users have a vital stake in the information system, and should participate fully in the development process. They are/should be involved at every stage of development. Advantages : Users can participate effectively in the requirements modeling stage. More accurate statement of systems requirements, better understanding of common goals and stronger commitment to success of the new project Disadvantages : More expensive, can be cumbersome if the group is too large for the project.
Read more

JAD Advantages and Disadvantages

-
JAD Advantages and Disadvantages : Compared with traditional methods, JAD is more expensive and can be cumbersome if the group is too large relative to the size of the project. Many companies find, however, that JAD allows key users to participate effectively in the requirements modeling process. Read:  What is JAD and how are users involved? What are advantages and disadvantages of JAD? When users participate in the systems development process, they are more likely to feel a sense of ownership in the results, and support for the new system. When properly used, JAD can result in a more accurate statement of system requirements, a better understanding of common goals, and a stronger commitment to the success of the new system. More:  RAPID APPLICATION DEVELOPMENT
Read more

What are the three dimensions to business problems? Give an example of each.

-
What are the three dimensions to business problems? Give an example of each. Answer: The three dimensions to business problems are: (1) Organizational: This may include outdated business processes, unsupportive culture and attitudes, political conflict, turbulent business environment and change, complexity of task, inadequate resources. (2) Technology: This may include insufficient or aging hardware, outdated software, inadequate data management, insufficient telecommunications capacity, incompatibility of old systems with new technology, and rapid technological change. (3) People: This may include lack of employee training, difficulties in evaluation performance, legal and regulatory compliance, work environment, lack of employee support and participation, indecisive management, or poor management.
Read more