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A company finds that one of its warehouses is out of capacity to store products. Expanding the physical size of the warehouse is not an option. The most appropriate solution would be to increase the:
The purpose of price differentiation is to:
In a make-or-buy decision, if the product is modular and the company is dependent on knowledge and capacity, outsourcing most likely will be:
A company's annual cost of goods sold is $350 million, and inventory carrying cost is 18%. The company averages four inventory turns. The cost savings resulting from increasing inventory turns from four to six would be:
Supply chains delivering products or services are most able to respond quickly to changing market requirements when:
Throughout most of the supply chain, safety stock will be de-emphasized as a result of improved:
The primary risk associated with outsourcing innovative components to suppliers is:
The practice of supply chain members acting in close collaboration while retaining independent ownership is known as:
A company considers moving a portion of its production to a distant country to support a major customer. Which of the following actions is most effective in mitigating the risk of financial loss in the event of a global economic downturn?
Which of the following elements of total quality management (TQM) results in a lower overall cost of the product?

Question 144 - CSCP discussion

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A business is changing from a business to business model to a business to consumer model. Which of the following statements about this supply chain change is true?

A.
Returns from customers will decrease.
Answers
A.
Returns from customers will decrease.
B.
Number of supplier orders will increase.
Answers
B.
Number of supplier orders will increase.
C.
Number of customer orders will increase.
Answers
C.
Number of customer orders will increase.
D.
Average supplier order size will increase.
Answers
D.
Average supplier order size will increase.
Suggested answer: C

Explanation:

Transitioning from a business-to-business (B2B) model to a business-to-consumer (B2C) model typically results in an increased number of customer orders. B2C transactions generally involve smaller order sizes but higher order volumes compared to B2B transactions. The company will need to manage a larger number of individual orders, which may also necessitate adjustments in logistics, inventory management, and customer service processes to accommodate the higher volume of transactions.

Reference:

'E-Business and Supply Chain Integration' by Ozlem Bak

'Supply Chain Management: From Vision to Implementation' by Stanley E. Fawcett, Lisa M. Ellram, and Jeffrey A. Ogden

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asked 16/09/2024
Soumia Djenan
30 questions
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