Final answer:
Productivity in a production environment extends beyond the amount produced per hour and includes quality, resource efficiency, and innovation. In international markets, productivity is influenced by the complexities of dealing with multiple currencies. An example of productivity in the tree cutting industry shows the impact of currency fluctuations on labor costs and sales revenues.
Step-by-step explanation:
When discussing how "making money" measures translate to the production environment, it's important to understand that productivity isn't solely limited to the quantity produced per hour of work. Jonah's translation in a production setting often refers to evaluating effectiveness beyond just output rates. In the context of international business and foreign exchange complexities, productivity assessments encompass a range of considerations.
Productivity Measures Beyond Output
While the traditional measure of productivity might focus on the amount produced per work hour, there are alternatives. For instance, productivity can also be assessed on the basis of the quality of the products, the efficiency of resource utilization, and the innovation within production processes. Looking at consistency of product quality or the speed of delivery to market can provide a more nuanced picture of productivity.
International Markets and Currency Impact
In international markets, the financial performance of a firm is not solely based on the amount produced, but also on the interplay of currencies. A firm's costs such as wages, materials, and investments are paid in the local currency, whereas sales revenue is often earned in a foreign currency. This dual-currency situation requires firms to participate in foreign exchange markets, where they supply one currency and demand another. The impact on productivity can vary, depending on the strength of the currencies involved and the economic conditions that affect exchange rates.
Example of Tree Cutting
Let's consider the example of tree cutting for lumber with a two-person crosscut saw. If these lumberjacks were working for a company that deals internationally, the value of their labor in terms of productivity would be tied to not only how many trees they cut but also how currency fluctuations affect the company's bottom line. The cost of labor in local currency and the revenue from lumber sales in foreign currency would need careful balancing to measure true productivity.