________ describes innovations in products, services, or processes that radically change an industry's rules of the game.
Fill in the blank(s) with the appropriate word(s).
Ans: Disruptive innovation
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The fixed overhead volume variance measures the use of existing facilities and capacity
Indicate whether the statement is true or false
Difficulty in adjusting inventory values to reflect style changes is a problem associated with _____
a. the cost method of accounting b. the retail method of accounting c. FIFO d. LIFO
Congress can validly enact a statute that gives it the right to fire or remove heads of
executive agencies. a. True b. False
Fyodor Corporation has a Parts Division that does work for other Divisions in the company as well as for outside customers. The company's Machine Division has asked the Parts Division to provide it with 8,000 special parts each year. The special parts would require $19.00 per unit in variable production costs.The Machine Division has a bid from an outside supplier for the special parts at $27.00 per unit. In order to have time and space to produce the special part, the Parts Division would have to cut back production of another part-the QR4 that it presently is producing. The QR4 sells for $34.00 per unit, and requires $18.00 per unit in variable production costs. Packaging and shipping costs of the QR4 are $2.00 per unit. Packaging and shipping costs for the new special part would be
only $0.50 per unit. The Parts Division is now producing and selling 40,000 units of the QR4 each year. Production and sales of the QR4 would drop by 5% if the new special part is produced for the Machine Division.Required:a. What is the range of transfer prices within which both the Divisions' profits would increase as a result of agreeing to the transfer of 8,000 special parts per year from the Parts Division to the Machine Division?b. Is it in the best interests of Fyodor Corporation for this transfer to take place? Explain. What will be an ideal response?