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Several factors influence effective capacity. In relation to Jaguar, identify what factors would influence effective capacity.

A) Equipment efficiency
B) Labor skills
C) Supply chain management
D) All of the above

1 Answer

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Final answer:

Effective capacity at Jaguar is influenced by equipment efficiency, labor skills, and supply chain management, with economies of scale affecting all these factors to secure cost advantages through larger operations.

Step-by-step explanation:

In relation to Jaguar, the factors that would influence effective capacity include equipment efficiency, labor skills, and supply chain management. When we consider equipment efficiency, we're looking at how well the machinery and tools are used to produce vehicles. The higher the efficiency, the greater the capacity for production. Labor skills play a crucial role as well; skilled workers can produce higher quality work in less time, leading to an increase in productivity and, hence, effective capacity. Supply chain management affects the flow of resources required to produce vehicles. Effective management can minimize delays and optimize production schedules, thus expanding capacity. Moreover, economies of scale can affect all these factors, providing cost advantages by increasing the size of operations.

The factors that would influence effective capacity in relation to Jaguar are equipment efficiency, labor skills, and supply chain management. These factors are crucial in determining how efficiently Jaguar can produce its vehicles and meet consumer demand.

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