________ is a business model in which the suppliers to a manufacturer manage the manufacturer's inventory levels based on preestablished service levels.

Question

Quizplus · Accepted Answer

Vendor-managed inventory (VMI) is a business model in which the supplier takes responsibility for managing inventory levels of the manufacturer. The suppliers use preestablished service levels to manage the inventory levels, ensuring that the manufacturer has the required inventory to meet the demand. VMI helps to reduce the inventory carrying costs and out-of-stock situations for the manufacturer.

________ Is a Business Model in Which the Suppliers to a Manufacturer