Question: Flexible manufacturing systems enable companies to respond quickly to emerging market trends and to easily accommodate product redesigns as technology changes. What is there in

Flexible manufacturing systems enable companies to respond quickly to emerging market trends and to easily accommodate product redesigns as technology changes. What is there in these advantages that sometimes leads companies applying the traditional discounted cash flow analysis to under-invest in such systems? That is, why do companies sometimes underestimate the value of flexible manufacturing systems in the sense of assigning negative NPVs to positive NPV projects?

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