Final answer:
A firm that concentrates on the products manufactured and manufacturing processes is termed as production-oriented. Such firms base their decisions on production costs, market structures, and competitive factors within the industry.
Step-by-step explanation:
The question addresses the focus of firms regarding their business strategies, specifically in terms of the products they make, the production processes they use, and other operational decisions. When a firm is primarily focused on the product to be manufactured and the manufacturing process to be used, it can be classified as production-oriented. This orientation suggests the firm prioritizes operational efficiency and product optimization over other aspects such as sales strategies or customer preferences.
Production-oriented firms make decisions based on production and cost conditions, and take into account the market structure which includes factors like market power, product distinctiveness, and barriers to entry for new firms. Decisions on what to produce, how to produce, production output, pricing, and labor employment are all influenced by these conditions.