A Regional Grocery Chain Spends 70% of Its Sales in the Supply

question 128

Essay

A regional grocery chain spends 70% of its sales in the supply chain,and has a net profit margin of 2%.They have just initiated an Internet-based inventory management program that is expected to save the chain $500,000 per year.What is the equivalent increase in sales to this saving? Use Table 11.3,reproduced below.

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Definitions:

Triad

In sociology, a group of three people, which provides the simplest unit for studying complex group dynamics.

Cognitive Consistency Theories

A group of attitude theories stressing that people try to maintain internal consistency, order and agreement among their various cognitions.

Three-Component Model

A framework in psychology that describes an attitude as having cognitive, affective, and behavioral components.

Attitude

A mental inclination shown by assessing a specific entity with a certain level of preference or aversion.