When a Firm Places Orders in Lot Sizes That Are

question 48

Multiple Choice

When a firm places orders in lot sizes that are much larger than the lot sizes in which demand arises,

• A) variability of orders is minimized up the supply chain.
• B) variability of orders is magnified up the supply chain.
• C) suppliers gain better visibility of consumer demand.
• D) suppliers gain a more stable demand pattern.
• E) none of the above

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