The Phenomenon in Which the Variability in the Size and Timing

question 23

Multiple Choice

The phenomenon in which the variability in the size and timing of orders increases at each stage up the supply chain is referred to as the ________.

• A) synergistic effect
• B) flanging effect
• C) stack effect
• D) bullwhip effect

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Definitions:

Noncontrolling Interest

Noncontrolling interest is a financial stake in a subsidiary held by investors other than the parent company, reflecting their share of the subsidiary's net assets and earnings.

Goodwill

The excess value paid for a company over its net asset value, reflecting intangible assets such as brand reputation, customer relationships, and intellectual property.

Acquisition-Date

The specific date on which one entity gains control over another, which is crucial for recognizing and measuring the assets acquired, liabilities assumed, and any noncontrolling interest.

Control Premium

An additional amount that a buyer is willing to pay over the current market price to acquire a controlling interest in a company.