The bullwhip effect leads to increased trust between different stages of the supply chain and enhances any potential coordination efforts.

Question

Quizplus · Accepted Answer

The bullwhip effect actually leads to decreased trust between different stages of the supply chain as each stage tries to protect their own interests and may not share accurate information with the other stages. It also makes coordination efforts more difficult as each stage may make decisions based on inaccurate information.

The Bullwhip Effect Leads to Increased Trust Between Different Stages