With supply and demand management decisions being made independently,

Question

Quizplus · Accepted Answer

When supply and demand management decisions are made independently, it becomes difficult to coordinate the supply chain as there may be situations where production is either too high or too low in relation to demand, leading to excess inventory or stockouts. This lack of coordination increases the overall cost of the supply chain and reduces profitability. Therefore, the best answer is B.

With Supply and Demand Management Decisions Being Made Independently