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Question 309 - CSCP discussion

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An effective company strategy results when combining innovative products with:

A.
an efficient supply chain.
Answers
A.
an efficient supply chain.
B.
a responsive supply chain.
Answers
B.
a responsive supply chain.
C.
accurate forecasts.
Answers
C.
accurate forecasts.
D.
high inventory levels.
Answers
D.
high inventory levels.
Suggested answer: B

Explanation:

An effective company strategy for innovative products involves combining them with a responsive supply chain. Innovative products often have unpredictable demand and short life cycles, requiring a supply chain that can quickly respond to changes in demand, accommodate customization, and manage shorter product cycles efficiently.

An efficient supply chain (A) is more suited for functional products with stable demand.

Accurate forecasts (C) are important but difficult to achieve consistently for innovative products.

High inventory levels (D) are generally avoided in innovative product strategies due to the risk of obsolescence.

Fisher, M. L. (1997). What is the right supply chain for your product? Harvard Business Review.

Lee, H. L. (2002). Aligning Supply Chain Strategies with Product Uncertainties. California Management Review.

asked 16/09/2024
Mario Jose Oliveros Recinos
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