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What does the author suggest about investment in production machinery or equipment?
The passage states that the company developed new flavors etc. instead of putting new resources, i.e. money, into production machinery or equipment. That means the company's solution was less expensive than buying the machinery.
According to the passage, the company kept the brand fresh without investing its resources in machinery. This implies that not investing in machinery made the production of Nutri-Grain cheaper, not more expensive.
The fact that Nutri-Grain was able to develop new flavors etc. without the use of new production machinery does not imply that this machinery cannot be used for this purpose. On the contrary, it implies that these machines are usually needed for such development.
The author provides us with an example, Kellogg's Nutri-Grain brand, that managed to develop new flavors etc without the new equipment.
The author commends Kellogg for keeping the brand fresh without investing in machinery. This implies that usually, investment in machinery is required.
The decision not to invest in production machinery and equipment raised the cost of producing Nutri-Grain.