Final answer:
Manufacturing standardization achieves economies of scale and is most effective when global product responsibility is assigned to centralized units. This approach ensures standardized quality and streamlines operations by utilizing efficiencies of international trade.
Step-by-step explanation:
Manufacturing standardization can result in significant economies of scale when an organization assigns global product responsibility to centralized units. By centralizing efforts, a company can harmonize its practices and outputs, leading to uniform product quality and potentially reducing costs. This is evidenced in global assembly lines, such as those used by tech companies where design, manufacturing, assembly, and support are spread across various nations to optimize efficiency.
Centralized units can capitalize on the efficiencies of international trade and economies of scale by overseeing production globally, ensuring standardized processes and creating a unified approach to manufacturing. This approach can not only streamline operations but also provide consistency across all global markets. A centralized unit is distinct from outsourcing to external suppliers, relying on cross-functional teams, or delegating to local teams, which may not yield the same level of standardization and scale efficiencies.