Distribution operations help organizations overcome challenges, support other processes, and take advantage of economies of scale. Name and briefly discuss five roles that these operations play
• Balancing supply and demand - Whether seasonal production must service year-round demand (e.g., corn) or year-round production is needed to meet seasonal demand (e.g. holiday wrapping paper), distribution facilities can stockpile inventory to buffer supply and demand.
• Protecting against uncertainty - Distribution facilities can hold inventory for protection against forecast errors, supply disruptions, and demand spikes.
• Allowing quantity purchase discounts - Suppliers often provide incentives to purchase product in larger quantities. Distribution facilities can hold the additional quantities until needed, reducing the purchase cost per unit.
• Supporting production requirements - If a manufacturing operation can reduce costs via long production runs or if outputs need to age or ripen (e.g., wine, cheese, fruit), the output can be warehoused prior to distribution.
• Promoting transportation economies - Fully utilizing container capacity and moving product in larger quantities is less expensive per unit than shipping "air" and moving small quantities at a time. Distribution facilities can be used to receive and hold the larger deliveries of inventory for future requirements.
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Which of the following is not a consequence of bargaining centralization?
A. An increase in the number of issues brought to the bargaining table B. Separation between the negotiators and their constituents (the people they represent) C. Improved ability to tailor contracts to local conditions D. Decreased level of whipsawing
Openi, an island nation, is able to increase its textile production without having to compromise on the production of other materials. This is in contrast to other nations that need to lower the production of other materials to increase their textile production. In this scenario, Openi has a _____ in textile production.
A. comparative advantage B. balance of payments surplus C. positive balance D. trade surplus
The larger a law firm is, the less likely a conflict of interest will arise
Indicate whether the statement is true or false
The United Kingdom sells industrial supplies and materials to many nations around the world. The United Kingdom thus engages in
A. dumping. B. tariffing. C. importing. D. exporting. E. deficit trading.