Question

Why are large scale manufacturers only engae in the final stages of production?

Answer 1

Explanation:

The term, “Large scale production” refers to the production of a commodity on a large scale with a large sized firm.

Normally such organizations produce bulk orders and instead of taking every step in their own hands it is a preferable method to outsource the initial parts and involve in final assembly and testing of the products. This saves their time and they have the flexibility to increase the production without making a lot of investment

Answer 2

The large scale manufacturers are engaged in creating bulk orders on a large scale. It requires huge investments in plant, machinery, and equipment. Most large scale companies prefer to outsource their operations and functions and focus on in final assembly and testing of the products.

Explanation:

• The process of a large scale of production can be carried out if the market size is large and expanding.  

• The manufacturing business uses parts, raw materials, and components to assemble their finished goods.  

• There are many manufacturing companies that make use of robots, machines, computers, and humans for the production of their goods.  

• These days most of these functions are outsourced and the companies focus on their core competencies of the final assembly of goods.