The Relationship Between the Number of Warehouses, System Inventories, and Customer

question 32

Multiple Choice

The relationship between the number of warehouses, system inventories, and customer service is referred to as _______.

• A) risk pooling
• B) risk aggregating
• C) risk monitoring
• D) risk division

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Definitions:

Franchising Revenue Model

Earning revenue by selling franchises of an existing business to allow another party to trade under the name of that business.

Existing Business

An enterprise that is currently operational and has gone past the startup phase, often with established customers, revenue streams, and market presence.

Trade

The exchange of goods or services between parties, which can be within or across borders.

Intermediation Revenue

Income generated by serving as an intermediary in transactions between two or more parties, such as brokerage fees or commissions.