The Major Disadvantage of In-Transit Merge Compared to Drop-Shipping Is

question 49

Multiple Choice

The major disadvantage of in-transit merge compared to drop-shipping is

• A) transportation costs are high because the average outbound distance to the end consumer is large and package carriers are used to shipping the product.
• B) response times tend to be large because the order has to be transmitted from the retailer to the manufacturer and shipping distances are on average longer from the manufacturer's centralized site.
• C) order tracking becomes harder to implement because it requires complete integration of information systems at both the retailer and the manufacturer.
• D) the additional effort during the merge itself.
• E) the handling of returns is likely to be difficult and more expensive, hurting customer satisfaction.

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Definitions:

Relative Frequencies

The proportion of occurrences of a specific value relative to the aggregate count of observations, frequently shown as a percentage.

Sample Size

The number of observations or data points collected in a study or used in a statistical analysis.

Vertical Axis

The perpendicular line in a graph or chart representing the range of one of the variables under consideration.

Horizontal Axis

The x-axis in a graph, typically used to represent the independent variable or scale of measurement.