Many Alternative Strategies Are Available for the Timing and Sizing

Multiple Choice

Many alternative strategies are available for the timing and sizing decision in capacity expansion. Which one of the following statements regarding these strategies is best?

A) The expansionist strategy makes large, frequent jumps.
B) The expansionist strategy involves large, infrequent jumps in capacity.
C) Lost sales are more likely when the expansionist strategy is adopted.
D) The wait- and- see strategy makes large, infrequent jumps.