Which of the Following Is Not a Good Approach for Suppliers

question 45

Multiple Choice

Which of the following is not a good approach for suppliers who are providing JIT services to manufacturers?

• A) Use the "push system" for deliveries
• B) Locate near their customers
• C) Have small warehouses near the manufacturing plant
• D) Use standardized containers
• E) Join together with other suppliers to help each other make small deliveries

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Definitions:

Financial Distress

A situation where a company is struggling to meet its financial obligations, which could lead to bankruptcy if not addressed.

Stockholders

Individuals or entities that own shares of a corporation, thus holding part ownership and potential financial gains from the corporation's performance.

Book Value

Represents the value of a company as recorded on its books, calculated by subtracting total liabilities from total assets.

Market Value

The current value of an asset or company based on the price that it can be sold for on the open market.