Which of the Following Statements Regarding Aggregate Planning Is True

question 84

Multiple Choice

Which of the following statements regarding aggregate planning is true?

• A) In a pure level strategy, production rates or workforce levels are adjusted to match demand requirements over the planning horizon.
• B) A pure level strategy allows lower inventories when compared to pure chase and hybrid strategies.
• C) In a mixed strategy, there are changes in both inventory and in workforce and production rate over the planning horizon.
• D) Because service firms have no inventory, the pure chase strategy does not apply.
• E) It turns the material requirements plan into the aggregate plan.

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Definitions:

Trading Down

Opting for cheaper or lower-quality products or services, often as a result of economic constraints or budget considerations.

Repositioning

The strategy of changing the marketing mix for a product or brand to target new markets or change the product's image.

Product Life Cycle Shapes

The visual representation of the stages a product goes through from its introduction to the market until its decline, typically shown as a graph.

Characteristics

Distinctive traits, features, or qualities that define an individual, group, or object.