Hi.

TRUE OR FALSE. State your explanation.

1) Strategic sourcing is the development and management of supplier relationships to acquire goods and services in a way that aids in achieving the immediate needs of the business.

2) Two common measures to evaluate supply chain efficiency are the consumer price index and the beta flow system.

3) Two common measures to evaluate supply chain efficiency are the inventory turnover and weeks-of-supply ratios.

4) Inventory turn values that are considered good differ by industry and the type of products being handled.

5) Retailer behavior when stocking up during promotion periods (where the prices of goods are reduced) is called backward buying.

6) The phenomenon that magnifies the variability in order quantities for goods as orders move through the supply chain from the customer to the producer is called the bullwhip effect.

7) Functional products include staples that people buy in a wide range of retail outlets, such as grocery stores and gas stations.

8) The optimal strategy for functional products is to use an efficient supply chain.

9) The optimal strategy for functional products is to use a responsive supply chain.

10) The optimal strategy for innovative products is to use an efficient supply chain.

-ms