Which of the following is TRUE regarding a responsive supply chain?
A) Demand is stable and predictable.
B) Product life cycles are short and change often because of innovation.
C) Customers require standardization.
D) Contribution margins are low.

Question

Quizplus · Accepted Answer

A responsive supply chain is designed to quickly adapt to changes in demand, product innovation, and customer preferences. This means that product life cycles are short and change often, which is true in choice B. Choice A is incorrect because demand is not always stable and predictable in a responsive supply chain. Choice C is incorrect because customers may require customization, not standardization. Choice D is incorrect because a responsive supply chain may require higher contribution margins to support the cost of flexibility and responsiveness.

Which of the Following Is TRUE Regarding a Responsive Supply