Question : 51.Six Sigma refers to a statistically based philosophy that aims : 1299483

51.Six Sigma refers to a statistically based philosophy that aims to:  

A. increase defects.

B. lower productivity.

C. increase the costs of value creation.

D. eliminate waste.

E. increase cost per unit.

52.Which of the following statements is true of Six Sigma?  

A. The higher the number of “sigmas,” the higher the number of errors.

B. At Six Sigma, a production process would be 90 percent accurate.

C. Six Sigma work standards are based solely on numbers or quotas.

D. It is almost impossible for a company to achieve Six Sigma perfection.

E. Six Sigma is the modern successor to ISO 9000.

53.Pink Polka Fashion Inc., a multinational clothing brand, has plans to expand in the European Union (EU) marketplace. In order to be able to do so, the EU requires that the:  

A. firm adopt techniques of total quality management.

B. firm achieve six sigma.

C. firm uses just-in-time inventory system.

D. firm patents its designs and technology.

E. firm’s products be certified under ISO 9000.

54.Which of the following is a drawback of ISO 9000 certification?  

A. It is bureaucratic and costly for many firms.

B. It is an impossible standard to achieve.

C. It is losing its prominence in international business.

D. It is ineffective in Europe.

E. It is ineffective in bringing about quality improvement.

55.To be able to accommodate demands for local responsiveness, a firm should:   

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 inflexible.

D. standardize the product coming out of all manufacturing units.

E. refrain from hiring host country managers.

56.Uniway Technologies Inc. has based its manufacturing units in the country of Lanthania. The country’s stable economic and political environment has helped the firm gain competitive advantage by lowering its production costs and improving product quality. Other things being equal, the benefits realized from such a strategy can be typically referred to as _____.  

A. economies of scope.

B. location economies.

C. diseconomies of scale.

D. economies of power.

E. learning economies.

57.Which of the following location externalities is favorable for foreign direct investment in a country?  

A. Presence of supporting industries

B. Market saturated with other foreign competitors

C. Lack of intellectual property rights laws

D. Presence of a communist political system

E. Adverse changes in currency exchange rates

58.Which of the following is a consequence of adverse changes in exchange rates?  

A. It brings more foreign direct investment into the country.

B. It decreases the dollar cost of products exported from the country.

C. It alters a country’s attractiveness as a manufacturing base.

D. It transforms the country into a low-cost location.

E. It decreases the amount of imports brought into the country.

59.Which of the following statements is true about performing a manufacturing activity in several locations at once?  

A. A manufacturing activity must be performed at multiple locations when the fixed costs of setting up a production plant are high.

B. Performing a manufacturing activity in several locations makes it difficult for a firm to accommodate demands for local responsiveness.

C. Producing in multiple locations reduces the bargaining power of a firm against manufacturers.

D. The larger the minimum efficient scale of a plant relative to total global demand, the greater the need for decentralizing production to multiple locations.

E. Many firms disperse their manufacturing plants to different locations as a “real hedge” against potentially adverse moves in currencies.

60.The concept of _____ tells us that as plant output expands, unit costs decrease. One reason is the greater utilization of capital equipment.  

A. minimum efficient scale

B. lean production

C. Six Sigma

D. economies of scale

E. total quality management