What Is a Disadvantage of Vendor Managed Inventory

question 24

Essay

What is a disadvantage of vendor managed inventory?

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Definitions:

Fixed Costs

Expenses that do not change with the amount of goods or services produced over a short period.

Variable Costs

Costs that vary directly with the level of production or service provision.

Fixed Costs

Expenses that do not change with the level of goods or services produced over a short time.

Variable Costs

Expenses that change in proportion to the activity or production level of a business.