Question

CGM makes high quality shoes using job production. The production method makes use of specialisation. CGM operates in a niche market. CGM managers know that all business activity creates external costs, so they always try to act in ways that protect the environment. The Operations Director wants to increase profit. CGM could either buy cheaper raw materials or introduce new technology into the production process. The new technology would cost $30 000 and could reduce the number of employees from 30 to 26.
(a) Identify two advantages of specialisation. Advantage 1:.. Advantage 2: ​

Answer 1

Answer:

1 It will reduce the manpower 2 It will be cost efficient

Explanation:

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