Solution Manual For Operations Management 3rd Edition By Gerard Cachon, Christian Terwiesch Chapter 1-20 CHAPTER 1 INTRODUCTION TO OPERATIONS MANAGEMENT CONCEPTUAL QUESTIONS 1. Below are a number of slogans used for advertisement. Which dimensions of customer utility do the slogans emphasize? Answer: Slogan A emphasizes Fit; Slogan B emphasizes Timing; Slogan C emphasizes Price; Slogan D emphasizes Location; and Slogan E emphasizes Performance. 2. Which of the following is not a dimension or subdimension in a customer’s utility function? Answer: D. Customer Satisfaction 3. The efficient frontier is given by the cheapest company in the industry. True or false? Answer: False 4. There can be no more than two firms on the efficient frontier. True or false? Answer: False 5. Two retailers compete on costs and the ambience of their retail stores. They are identical in all other dimensions of customer utility. Retailer A is cheaper than retailer B. Retailer A also has the better ambience. Does this mean that retailer A is on the efficient frontier? Yes or no? Answer: Yes 6. Which of the following is NOT one of the three system inhibitors? Answer: C. Fatigue 7. Which of the following is an example of a system inhibitor? Answer: B. An emergency room doctor has no patients at the moment. 8. Which of the following questions is NOT related to operations management? Answer: B. How much will the CEO be paid? 9. Which of the following is most related to the operations management of an organic sheep farm? Answer: A. The amount of land they rent for grazing sheep. 1 © McGraw Hill LLC. All rights reserved. No reproduction or distribution without the prior written consent of McGraw Hill LLC.