A wait-and-see capacity strategy does all of the following EXCEPT:
A)lag behind demand.
B)minimize the chance of lost sales due to insufficient capacity.
C)meet capacity shortfalls with overtime,temporary workers,subcontracting,and stockouts.
D)reduce the risk of overexpansion based on overly optimistic demand forecasts.

Question

Quizplus · Accepted Answer

A wait-and-see capacity strategy does not minimize the chance of lost sales due to insufficient capacity; instead, it accepts the risk of potential lost sales by lagging behind demand and using temporary measures to meet shortfalls.

A Wait-And-See Capacity Strategy Does All of the Following EXCEPT