Which of the Following Is an Example of a JIT

question 89

Multiple Choice

Which of the following is an example of a JIT system shifting responsibility for PD activities backward in a distribution channel?

• A) A paint supplier is highly efficient at controlling logistics costs. Products are distributed at a high customer service level.
• B) An ice cream chain makes its own ice cream at each of its retail sites. Its customers are highly pleased with the product.
• C) A wholesale appliance distributer is inefficient at controlling logistics costs. It develops a reputation for low customer service levels.
• D) A book retailer is more efficient than its suppliers at controlling PD costs. Products are distributed at an acceptable customer service level.
• E) An automotive parts supplier is less efficient than its retail customers at controlling logistics costs. Products are distributed at a high customer service level.

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Definitions:

Cancellation Fee

A charge that may be imposed for terminating a service or contract before its agreed-upon end date.

Monthly Issues

Refers to publications or reports that are released once every month.

Inheritance

Assets received from someone who has died.

Divisional Sales Revenues

The total amount of money generated from sales activities by a specific division within a company during a given period.