A Firm Uses the Pure Chase Strategy of Aggregate Planning

question 84

Multiple Choice

A firm uses the pure chase strategy of aggregate planning.It produced 1000 units in the last period.Demand in the next period is estimated at 800,and demand over the next six periods (its aggregate planning horizon) is estimated to average 900 units.Which of the following tactics would be most representative of following a chase strategy?

• A)add 100 units to inventory in the next period
• B)add 200 units to inventory in the next period
• C)hire workers to match the 100-unit difference
• D)lay off workers to match the 200-unit difference
• E)implement a lower price point to increase demand

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Definitions:

Marketing Manager

A marketing manager is tasked with developing, implementing, and executing strategic marketing plans for an entire organization (or lines of business and brands within an organization) to attract potential customers and retain existing ones.

Local Taxes

Taxes imposed by local government entities such as municipalities, counties, or school districts, used to fund public services within the locality.

Multidomestic Strategy

A marketing strategy where a company customizes its product offerings and marketing approach to suit different national conditions and preferences.

Differentiated Needs

The concept that individuals or groups have unique requirements or preferences that need specific attention or solutions.