Reducing the Replenishment Lead Time Can Help Dampen the Bullwhip

question 28

Multiple Choice

Reducing the replenishment lead time can help dampen the bullwhip effect because

• A) it will decrease the uncertainty of demand during the lead time.
• B) the manufacturer is aware of the retailer's promotion plans to achieve coordination.
• C) it discourages retailers from artificially inflating their orders in the case of a shortage.
• D) all of the above
• E) none of the above

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Definitions:

Buffer

A temporary storage area that holds data while it is being transferred from one place to another, ensuring the smooth functioning of a process.

Delay The Negative

A strategy to postpone or mitigate adverse outcomes or impacts.

Buffers

Statements or elements in communication that are used to soften the impact of negative news or feedback.

Negative Message

Communication that conveys rejection, denial, or a disappointing outcome.