The bullwhip effect can occur when orders decrease as well as when they increase.

Name: The bullwhip effect can occur when orders decrease as well as when they increase.
Brand: Quizplus
Rating: 5.0 (30 reviews)

Question

Quizplus · Accepted Answer

The bullwhip effect can occur when there is any change in demand, whether it increases or decreases. This is because fluctuations in demand can cause variability in inventory levels and ordering patterns throughout the supply chain, leading to amplified or distorted signals as they move upstream.

The Bullwhip Effect Can Occur When Orders Decrease as Well