A is a strategy for expanding capacity that waits until demand has increased to a point where additional capacity is necessary. a. capacity reduction strategy b. capacity lead strategy c. capacity lag strategy d. capacity match strategy

c. capacity lag strategy

Explanation:

Capacity lag strategy -

It refers to the strategy , where the capacity is added only when the firm is operated at the maximum capacity , due to the increase in the demand , is referred to as capacity lag strategy .

The method helps to reduce any wastage , and is a type of conservative strategy .

The method can sometimes lead to the loss of the potential buyers because of the low service .

Hence , from the given information of the question ,

The correct answer is c. capacity lag strategy .

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