Which of the following can owners of small businesses use to cope with variations in demand?
A) Hire permanent workers during peak periods.
B) Do not subcontract production.
C) Avoid carrying complementary products, such as winter and summer items.
D) Use inventory buildups to smooth out operations.

Question

Quizplus · Accepted Answer

Small business owners can use inventory buildups as a way to cope with variations in demand. By stocking up on inventory during low demand periods, they can have enough stock on hand to meet increased demand during high season, without having to hire additional workers or subcontract production. This can help prevent production delays and outsourced expenses, while also increasing overall efficiency and profitability.

Which of the Following Can Owners of Small Businesses Use