A handbag manufacturer makes a major design change after they identify a hazardous zipper during test marketing. Which risk is mitigated with this change?
Product risk is mitigated with the design change of the handbag.
By altering the design after identifying a hazardous zipper, the manufacturer addresses potential safety issues, thereby reducing the risk associated with the product itself. This proactive measure helps to prevent harm to consumers and potential liability for the company.
Inventory risk pertains to the potential losses arising from unsold stock or excess inventory. While a design change may impact inventory levels or the need for adjustments, it does not directly mitigate the risks associated with the product's safety or performance, which is the primary concern in this scenario.
Logistics risk involves the challenges related to the movement and storage of goods, including transportation and supply chain disruptions. The design change does not directly address or reduce risks tied to logistics, as it focuses solely on the safety and integrity of the handbag design itself.
Capacity risk relates to the ability of a manufacturer to meet production demands. Although a design change might influence production processes, it does not specifically mitigate risks related to the design's safety or functionality. The focus of the change is on the product’s safety rather than production capabilities.
The design change directly targets product risk by eliminating the hazardous zipper, thus making the handbag safer for consumers. This action addresses potential product liability issues and enhances the overall quality of the item being marketed.
The handbag manufacturer effectively mitigates product risk by modifying the design to eliminate a hazardous zipper. This change ensures consumer safety and reduces the likelihood of liability claims associated with defective products. In contrast, inventory, logistics, and capacity risks are not directly addressed by this decision, reinforcing the importance of prioritizing product integrity in manufacturing.
Related Questions
View allA customer receives slow service at a shopping center, and the operati...
A customer survey on process capability was conducted with 1,500 parti...
Which function of the supply chain operations reference (SCOR) include...
What determines the throughput of a machine?
What is the key difference between the product layout and the fixed-po...
Related Quizzes
View all0PC1 Planning Instructional Strategies for Meaningful Learning Version 1
AP01 Elementary Literacy Curriculum Version 1
AQ01 Applied Healthcare Statistics C784 Version 1
ASO1 Introduction to Statistics for Research Version 1
BJ01 Introduction to Business Finance Version 1
C172 Network and Security Foundations Version 1
C180 Introduction to Psychology Version 1
C180 Introduction to Psychology Version 2
CKC1 Introduction to Humanities Version 1
DZ01 Mathematics for Elementary Educators III MATH 1330 Version 1
- ✓ 500+ Practice Questions
- ✓ Detailed Explanations
- ✓ Progress Analytics
- ✓ Exam Simulations