Capacity lag strategy results in constant capacity shortages.

Name: Capacity lag strategy results in constant capacity shortages.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Capacity lag strategy involves intentionally maintaining lower capacity than required to meet demand in the short term, with the goal of reducing costs and improving efficiency. However, this can lead to constant capacity shortages which can negatively affect customer satisfaction and lead to lost sales opportunities.

Capacity Lag Strategy Results in Constant Capacity Shortages