Which one of the following statements on inventory placement of finished goods is best?
A) Forward placement might help reduce transportation cost.
B) Backward placement is consistent with a competitive priority that calls for fast delivery times.
C) Forward placement is consistent with a competitive priority that calls for customization.
D) Inventory pooling should be avoided when demand in various regions fluctuates month to month.

Question

Quizplus · Accepted Answer

Forward placement of inventory can reduce transportation costs by positioning goods closer to the customer, thus minimizing the distance and cost associated with delivery.

Which One of the Following Statements on Inventory Placement of Finished