The Main Advantage of In-Transit Merge Over Drop-Shipping Is

question 76

Multiple Choice

The main advantage of in-transit merge over drop-shipping is

• A)the ability to reduce cost of inventory by centralizing inventories at the manufacturer.
• B)supply chains save on the fixed cost of facilities,because the need for other warehousing space in the supply chain has been eliminated.
• C)somewhat lower transportation cost and improved customer experience.
• D)order tracking is easy to implement because of the complete integration of information systems at both the retailer and the manufacturer.

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Definitions:

Probability

A mathematical measure of the likelihood of occurrence of a particular event, expressed as a number between 0 and 1.

Major Earthquake

An earthquake of high magnitude that has the potential to cause significant damage and loss of life, usually above a magnitude of 7 on the Richter scale.

Poisson Model

A statistical model that predicts the probability of a given number of events happening in a fixed interval of time or space when these events occur with a known constant mean rate and independently of the time since the last event.

Probability

The quantification of the probability that an event will take place, expressed as a number from 0 to 1, with 0 signifying that the event cannot occur and 1 signifying absolute certainty of occurrence.