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Compare labor-intensive and technology-intensive production using the poultry-farm example.

Answer

A labor-intensive poultry farm relies on many workers and may use limited machinery, such as a small vehicle for collecting eggs. A technology-intensive farm uses equipment such as conveyor belts for feeding, watering, or collecting eggs and may require fewer workers. The manager compares the input mix and its suitability, costs, and labor requirements.

Explanation

### The concept Labor-intensive production uses a relatively large amount of human labor in relation to machinery. Technology-intensive production relies more on equipment or automated processes. In the course example, workers may collect eggs manually or use a small vehicle, while a larger automated operation may use conveyor belts to deliver feed and water and collect eggs. The relevant managerial issue is the factor combination, not an assumption that automation is always cheaper or better. A manager must consider available skills, capital requirements, costs, and the operation’s scale. ### What a good answer covers - Define labor-intensive production. - Define technology-intensive production. - Use the poultry example to illustrate both. - Explain that management selects the factor mix based on the business situation. ### Terms - **Labor-intensive**: a production method that relies relatively heavily on workers. - **Technology-intensive**: a production method that relies relatively heavily on machinery or technology. ### Remember The choice is about the relative mix of labor and machinery.

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