What are the three most important ways a firm can create a buffer against the amount of demand for particular goods?
A)Shipping, inventory, and warehouse.
B)Inventory, machinery, and retailer.
C)Inventory, capacity, and time.
D)Shipping, raw material, and time.

Question

Quizplus · Accepted Answer

Precautionary inventory, extra storage space, and safety lead time all create a time buffer needed to act accordingly when faced with a demand fluctuation. These are the three principal ways to protect against fluctuation in the amount of demand.

What Are the Three Most Important Ways a Firm Can