To avoid lost sales, service capacity must be set to match peak demand.

Question

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To avoid lost sales, businesses need to have enough service capacity to handle peak demand. If they don't, customers may be turned away or forced to wait, leading to lost sales and potentially damaging the business's reputation. Therefore, it's important to plan and allocate resources according to expected demand to ensure that service capacity is sufficient.

To Avoid Lost Sales, Service Capacity Must Be Set to Match