When a large firm needs storage space desperately in peak periods,such a firm will turn to ________.
A) public warehouses
B) distribution centers
C) private warehouses
D) storage warehouses

Question

Quizplus · Accepted Answer

Public warehouses are owned and operated by third-party logistics providers, who offer short-term storage and handling services to firms on a contract basis. Firms that have seasonal fluctuations in demand or sudden spikes in sales may turn to public warehouses to store excess inventory temporarily, without incurring the fixed costs associated with building or owning their own warehouses. Distribution centers are similar to public warehouses, but they typically handle higher volumes of goods and are located closer to the end customers. Private warehouses are owned and operated by the firms themselves, but they may not have enough capacity to handle sudden surges in demand. Storage warehouses are mainly used to store products that do not require special handling or processing, such as bulk commodities or raw materials.

When a Large Firm Needs Storage Space Desperately in Peak