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2 marksNature of Production and Location

CAPE Management of Business Unit 2 · 2017 · Paper 2 · Question 1(a)(ii)

Techno Ltd assembles laptops and other computer gadgets for distribution to three Caribbean countries. Following a 100% material cost increase by their supplier, the business has become unprofitable. The owner, Pamela, is considering flow production to increase profitability.

Define the term 'production output'.

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Other parts of this question

  1. 1(a)(i)Define the term 'production input'.[2 marks]
  2. 1(b)(i)Explain the production method of job production.[3 marks]
  3. 1(b)(ii)Explain the production method of batch production.[3 marks]
  4. 1(b)(iii)Explain the production method of flow production.[3 marks]
  5. 1(c)Discuss THREE ways in which Techno Ltd can benefit from utilizing the flow production method.[12 marks]

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