Which distribution network design is being used when inventory is not held by manufacturers at the factories,but is held by distributors/retailers in intermediate warehouses and package carriers are used to transport products from the intermediate location to the final customer?
A)Manufacturer storage with direct shipping
B)Manufacturer storage with direct shipping and in-transit merge
C)Distributor storage with package carrier delivery
D)Distributor storage with manufacturer pickup

Question

Quizplus · Accepted Answer

This is the definition of a distributor storage network with package carrier delivery. The inventory is held by distributors/retailers in intermediate warehouses and package carriers are used to transport products from the intermediate location to the final customer. This type of distribution network design can be more cost-effective for manufacturers as they do not need to hold inventory at their factories and can also lead to faster delivery times for customers.

Which Distribution Network Design Is Being Used When Inventory Is