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What is the principle of comparative advantage?
Safety Inventory
Safety inventory refers to a quantity of stock maintained to mitigate the risk of stockouts due to demand and supply variability.
Product Availability
The degree to which products are in stock and accessible to customers, influencing customer satisfaction and sales.
Product Fill Rate
A measure of a company's ability to meet customer demand from available stock, often expressed as a percentage of customer orders fulfilled from stock on hand.
Safety Inventory
A quantity of stock maintained in reserve to protect against uncertainties in demand or supply, ensuring that operations continue smoothly.
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