Question $23$

The text discusses when to add capacity and describes three different strategies: lead,

lag, and match. Which of the following statements about capacity strategies is NOT

correct?

Lead capacity strategy can be used to preempt competitors who might be planning to expand

their own capacity.

A lag capacity strategy would be well$-$suited for a product where you anticipate high growth or

much demand

A lag capacity strategy tends to have greater productivity due to higher utilization levels.

A match capacity strategy tends to avoid periods of high under or over utilization.