5.1

Question 3

What does marketing intersect with?

Answer 3

Other parts of business such as finance and HR.

Question 4

What is operation management about?

Answer 4

Delivering efficiency and time management.

Question 5

How does operation management impact a business?

Answer 5

It delivers to the business as a whole and impacts the business as a whole.

Question 6

What is an example of a firm shifting to becoming more automated?

Answer 6

A firm shifting to becoming very automated can impact firm durability.

Question 7

What do changes in operation management have a direct impact on?

Answer 7

The overall firm operation.

Question 8

How does the way something is made affect its market position?

Answer 8

It determines whether it is exclusive or standardised.

Question 9

What can premium, exclusive products be sold for?

Answer 9

Exclusive prices.

Question 10

What is premium pricing?

Answer 10

It is when something is sold at a high price due to exclusivity.

Question 11

What role do the 7Ps play in marketing?

Answer 11

They help identify key ways in which a business is presented, e.g., physical evidence.

Question 12

How does Bugatti compare to Coca-Cola in terms of product specialization?

Answer 12

Bugatti is much more a specialised product compared to Coca-Cola, which benefits more from economies of scale.

Question 13

In a competitive industry, how do most businesses compete?

Answer 13

Based on price.

Question 14

What else helps in the recognition and operation of a firm?

Answer 14

Promotional activity also helps in operations.

Question 15

How can operation management impact HRM?

Answer 15

It can impact the way HRM is managed, including hiring and coordination.

Question 16

What is a characteristic of a firm that is very labour intensive?

Answer 16

It may have many stores opened in China due to cheap labour-intensive ways to run factories.

Question 17

What is the characteristic of a more automated firm?

Answer 17

It is more capital intensive.

Question 18

How can the concept of HR affect motivation?

Answer 18

It can affect motivation in various ways.

Question 19

What is the difference between mass production and job production?

Answer 19

Mass production involves very boring, repetitive work, while job production is very engaging.

Question 20

What is job production?

Answer 20

It is very demanding and needs a skilled workforce.

Question 21

What does mass production require?

Answer 21

Only an unskilled workforce.

Question 22

How demanding is hiring a skilled workforce?

Answer 22

It is very demanding and hard.

Question 23

How easy is it to hire for mass production?

Answer 23

It doesn’t require a very skilled workforce; it’s easy.

Question 24

What does capital intensive mean?

Answer 24

That the product machines, for example, are quite expensive.

Question 25

What does lean production help with?

Answer 25

It helps reduce waste.

Question 26

How does capital intensive production affect costs?

Answer 26

It helps produce faster and cost is covered per unit.

Question 27

What should a firm compare to decide if a product is good to purchase for capital intensive production?

Answer 27

It should compare its risks and advantages.

Question 28

Why do some firms take a loan?

Answer 28

As machines cost a lot.

Question 29

What is a contingency fund?

Answer 29

Money kept for emergencies, e.g., machine failure.

Question 30

When a firm is more labour intensive, where does more cost come from?

Answer 30

Employee payments than the products.

Question 31

Who can oversee operations?

Answer 31

Finance, marketing, and management.

Question 32

What does operations management look at?

Answer 32

How products are made and delivered.

Question 33

What types of products does operations management oversee?

Answer 33

Both goods and services.

Question 34

What is the Primary Sector?

Answer 34

It involves collecting natural resources or raw materials (e.g., farming, mining, fishing).

Question 35

What is the Secondary Sector?

Answer 35

It involves converting raw materials into processed goods (e.g., manufacturing, construction).

Question 36

What is the Tertiary Sector?

Answer 36

It involves providing services rather than goods (e.g., healthcare, education, banking).

Question 37

What is the Quaternary Sector?

Answer 37

It involves knowledge-based services, like information centres, technology, research and development.

Question 38

What is the role of production?

Answer 38

To turn factors of production into goods and services.

Question 39

What is the process of production?

Answer 39

Factors of Production → Production Process → Output (goods/services)

Question 40

What are the Factors of Production?

Answer 40

They are the resources used to create goods and services. These include the 5 Ms: Manpower (workers), Management (leadership/coordination), Money (finance), Machines (tools/equipment), Materials (raw inputs).

Question 41

What should a manager do in operations?

Answer 41

A manager should manage operations efficiently and effectively to ensure smooth production.

Question 42

How does operations management help?

Answer 42

It helps decide how products and services are produced, based on what is being made and the most cost-effective method.