Portfolio Planning Is a Process That Helps Executives Assess Their

question 69

True/False

Portfolio planning is a process that helps executives assess their firm's prospects for success within each of its industries, offers suggestions about what to do within each industry, and provides ideas for how to allocate resources across the industries.

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Definitions:

Bullwhip Effect

A phenomenon in supply chain management where small fluctuations in demand at the retail level cause progressively larger fluctuations in demand at the wholesale, distributor, and manufacturer levels.

Supply Chain

The supply chain is a system of organizations, people, activities, information, and resources involved in moving a product or service from supplier to customer.

Buffer Inventory

Inventory kept in reserve to protect against unforeseen supply or demand fluctuations.

Supply Chain Inventory

This is the total of all the goods and raw materials held by different companies participating in the supply chain from production to the sale of the final product.