Revenue management has a significant impact on supply chain profitability if
A)demand is stable and predictable.
B)the value of the product varies in different market segments.
C)the product is sold in many retail outlets.
D)the product has a long shelf life.

Question

Quizplus · Accepted Answer

Revenue management involves pricing and selling strategies to maximize profit in different market segments. If the value of the product varies in different market segments, revenue management can help to capture the maximum profit by setting different prices for different segments. Therefore, revenue management has a significant impact on supply chain profitability if the value of the product varies in different market segments. The other options (A, C and D) may also have some impact on supply chain profitability, but not as significant as option B.

Revenue Management Has a Significant Impact on Supply Chain Profitability