Temp-Tech Management Learns That Last Month's Production Run of Heaters

question 29

Multiple Choice

Temp-Tech management learns that last month's production run of heaters at its Newark plant is defective and announces a recall of the specific models produced. To handle the large number of products it expects to receive for replacement of the defective thermostats, Temp-Tech will probably need to add a ____ to its distribution network.

• A)distribution center
• B)private warehouse
• C)dispatching shipment system
• D)public warehouse
• E)materials handling system

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Definitions:

Share Of Wallet

The amount of a customer's total spending that is captured by a particular business or brand.

Growth Potential

The capacity for future expansion or increased profits within a company or industry.

Staircase Analysis

A method used to assess and plan a product's or project's steps towards achieving a series of short-term goals leading towards a long-term goal.

Potential Sales

An estimate of the total sales revenue a company can potentially achieve in a specific market under ideal conditions.