Which approach would best help ABC grow without sacrificing efficiency?

Study for the IBDP Business Management Test. Engage in quizzes with flashcards and multiple choice questions. Each question offers insights and explanations. Prepare thoroughly for your exam!

Multiple Choice

Which approach would best help ABC grow without sacrificing efficiency?

Explanation:
Growing without losing efficiency means increasing output while keeping costs under control. The best approach blends expanding capacity with smarter, faster ways of making things. By boosting production and improving efficiency, ABC can meet rising demand and spread fixed costs over more units, while cutting waste, shortening cycle times, and using resources more effectively. This combination delivers higher overall output without a proportional rise in cost per unit, supporting sustainable growth. The other options don’t fit as well: hiring more management consultants alone doesn’t add to how much is produced or improve day-to-day efficiency; outsourcing all production to untested suppliers risks quality, reliability, and delays; raising prices without demand would likely shrink sales and stall growth.

Growing without losing efficiency means increasing output while keeping costs under control. The best approach blends expanding capacity with smarter, faster ways of making things. By boosting production and improving efficiency, ABC can meet rising demand and spread fixed costs over more units, while cutting waste, shortening cycle times, and using resources more effectively. This combination delivers higher overall output without a proportional rise in cost per unit, supporting sustainable growth.

The other options don’t fit as well: hiring more management consultants alone doesn’t add to how much is produced or improve day-to-day efficiency; outsourcing all production to untested suppliers risks quality, reliability, and delays; raising prices without demand would likely shrink sales and stall growth.

Subscribe

Get the latest from Passetra

You can unsubscribe at any time. Read our privacy policy