Identify the Assumption in CEO's Manufacturing Strategy

Very Hard Assumption Identify Assumptions

The CEO of a major tech company recently announced a shift in their manufacturing strategy, claiming that moving production facilities closer to the company headquarters will enhance operational efficiency. The CEO argues that this will reduce shipping times and costs, improve team collaboration, and allow for more immediate oversight of production quality. Critics, however, contend that this decision could lead to higher labor costs due to increased wages in the region where the headquarters is located.

Which of the following is an assumption underlying the CEO's argument?

The operational efficiency improvements will outweigh any potential increases in labor costs.

The company can find qualified workers at the new location without difficulty.

Moving production closer to headquarters will not negatively affect product quality.

The company's current manufacturing process will remain unchanged despite the relocation.

Shipping costs are the only cost considerations in the production process.

Hint

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