The physical distribution customer service level is important because:
A) it is a measure of how rapidly and dependably a firm delivers what its customers want.
B) it may result in lost sales if it is too low.
C) it may result in high costs (and thus lower profits) if it is too high.
D) All of the above.
E) None of the above.

Question

Quizplus · Accepted Answer

The physical distribution customer service level is important because it is a measure of how rapidly and dependably a firm delivers what its customers want, and if it is too low, it may result in lost sales. However, if it is too high, it may result in high costs (and thus lower profits). Therefore, all of the above choices are correct.

The Physical Distribution Customer Service Level Is Important Because