Which of the following statements about just-in-time delivery is FALSE?
A) Just-in-time shifts greater responsibility for physical distribution backward in the channel.
B) Just-in-time reduces storing and handling costs for everyone in the channel.
C) Just-in-time increases the coordination needed among channel members.
D) Just-in-time reduces storing and handling costs for business customers.
E) None of these statements about JIT delivery is FALSE.

Question

Quizplus · Accepted Answer

Just-in-time may reduce storing and handling costs for some channel members, but it may increase these costs for others, such as suppliers who must frequently deliver small quantities of goods. Additionally, just-in-time may increase transportation costs as goods are shipped more frequently. Therefore, statement B is false.

Which of the Following Statements About Just-In-Time Delivery Is FALSE