A Footwear Company Specializing in the Production of Ballet Shoes

Multiple Choice

A footwear company specializing in the production of ballet shoes normally produces shoes for women.The company is hired by several customers to produce shoes for men.Which of the following should the manufacturer consider in order to achieve economies of scale in shoe production?

A) the amount of shoe production cost compared to the typical costs incurred in shipping
B) the level of effort required to retool the company's manufacturing plant to produce only men's shoes
C) the cost of producing one type of shoe at a time in large quantities and storing them for future sales
D) the amount of shoe storage cost compared to the typical costs incurred in shipping
E) the cost associated with efforts to increase customers that might also place orders for men's shoes