Draw the logistics network for the Cosmetics Division of Unico as described in the case. Assume there were 1,000 retail outlets [shops] where Unico's cosmetics were sold to consumers. 

 

Section 2 How should the division distribute its inventory holding in this logistics network? Is it logical to hold more stock at the retail points, the regional warehouses or the manufacturing plant? Justify your response. 

 

Section 3 Discuss the application of 'supermarkets' and the Central Limit Theorem to the Cosmetics Division. How do these concepts help in planning the logistics at Unico in particular and a supply chain in general?