In 2016, Spin Master, Did Not Properly Forecast Demand for Their

question 37

Multiple Choice

In 2016, Spin Master, did not properly forecast demand for their new product, Hatchimals, causing ___________ for their distributors.

• A) Excess stock
• B) The bullwhip effect
• C) Stockouts
• D) Price reductions

---

Definitions:

Japan

A country located in East Asia, known for its rich culture, technological advancements, and as a major economic power.

Italy

A country located in southern Europe, known for its rich history, culture, art, and contributions to cuisine, fashion, and science.

Nominal Wages

The wages paid to employees measured in current money, without adjustment for inflation or purchasing power.

Price Level

An index that measures the average level of prices of goods and services in an economy over a period of time.