Ramiro,a supermarket owner,decides to keep relatively high levels of inventory even though it costs him more.Ramiro most likely thinks that the cost of _____ is greater than the benefits of increasing his turnover rate.

Question

Quizplus · Accepted Answer

Ramiro is likely choosing to keep high levels of inventory to avoid stockouts, which can result in lost sales and dissatisfied customers. While keeping high inventory levels may come with increased costs, such as storage and handling fees, Ramiro likely values the benefits of avoiding stockouts more than the cost of these fees.

Ramiro,a Supermarket Owner,decides to Keep Relatively High Levels of Inventory