The answer choices for this question are based on lines 2-3, lines 6-7, lines 17-18, and lines 7-9 respectively (i.e., in that order) of the scenario.

Question: Identify the option that best indicates that Caterpillar is using a cost-based strategy?

Group of answer choices

A. The company (CAT) offers a wide range of products and services.

B. Caterpillar launched a $1.85 billion program to modernize its 17 factories even though the return on investment (ROI) was not guaranteed.

C. The biggest savings comes from integrated materials-handling systems that have cut inventories of tens of thousands of components by nearly 40%. (Statement is from lines 17-18 of the scenario).

D. Although the goal was to increase product quality, plant flexibility and reduce production-cycle time, customer satisfaction, and not cost savings, was the ultimate reason for the modernization program.