A Shortage Occurs When a Good Is in Great Demand

question 69

True/False

A shortage occurs when a good is in great demand.

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Definitions:

Transportation Costs

Expenses associated with the movement of products or materials from one location to another.

Inventory Management

The process of ordering, storing, using, and selling a company's inventory, including raw materials, components, and finished products.

Marketing Channel

A set of practices or activities necessary to transfer the ownership of goods, and to move goods, from the point of production to the point of consumption and, as such, which consists of all the institutions and all the marketing activities in the marketing process.

Distribution Center

A warehouse or specialized facility where products are stored and organized for the purpose of redistributing goods to retailers, wholesalers, or directly to consumers.