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Brums [2.3K]
3 years ago
9

What is the bullwhip effect and how does it relate to lack of coordination in a supply chain?

Business
1 answer:
rewona [7]3 years ago
6 0

Answer:

The bullwhip effect happens when retailers or other members of the supply chain overestimate a sudden increase in demand, and this causes a chain reaction in all the other participants of the supply chain that start requesting higher quantities of goods or materials for production. E.g. the fidget spinner was a very popular fad and its producers probably didn't anticipate how large the demand would be. Once the product became extremely popular, everyone wanted to sell fidget spinners. This caused an increase in the order quantities of all the supply chain. Once the fad faded out, all this momentum stopped and many stores, distributors, wholesalers, and even factories were left with huge unsold stocks of fidget spinners.

When the supply chain is well coordinated, there is little chance for some retailers or distributors to over react and want more product just in case. If your supply is guaranteed, then it would take some extraordinary increase in demand to make you want to increase your purchase orders. But if your supply chain is not well coordinated, you might fear that you will lose a lot of sales and other competitors will make them. Then you get anxious and start ordering large quantities.

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SoCal Movie Company produces movies at a studio in Southern California. The risk manager decided to identify the range of potent
SVEN [57.7K]

Answer:

Scenario analysis

Explanation:

Scenario analysis is defined as the process of analysing future occurences by choosing present alternatives. It shows different future possibilities of an event, and not just one.

It is a for of projection analysis.

For example the manager's analysis is: if a severe earthquake occurred while the company was filming a movie, there could be deaths and injuries, destruction of movie sets, delays in production, costs associated with filming at an alternative location, and loss of reputation and good will.

7 0
3 years ago
The list provided by the International Trade Administration to a potential exporter with the names and addresses of potential di
Marta_Voda [28]

Answer: Best prospects list

Explanation: The best prospects list is usually issued to potential exporters by the International Trade Organization which serves functions such as facilitating trade operations between countries by eliminating several trading issues such as negotiating and reducing trade tariff, regulating restrictive policies and also providing useful information necessary for successful trading to traders.

The provision of best prospects list offers firsthand information to potential traders about available and certified markets and distributor information which could facilitate ease of trading.

4 0
3 years ago
Hi guys, i need urgently some help with this question
klasskru [66]

Answer:

Accounting rate of return, also known as the Average rate of return, or ARR is a financial ratio used in capital budgeting. The ratio does not take into account the concept of time value of money. ARR calculates the return, generated from net income of the proposed capital investment. The ARR is a percentage return. Say, if ARR = 7%, then it means that the project is expected to earn seven cents out of each dollar invested (yearly). If the ARR is equal to or greater than the required rate of return, the project is acceptable. If it is less than the desired rate, it should be rejected. When comparing investments, the higher the ARR, the more attractive the investment. More than half of large firms calculate ARR when appraising projects.

Explanation:

hope this helps

4 0
2 years ago
on its advertisement, a company claims that it has funds in its possession that are in fact not available for payment of losses
MatroZZZ [7]

Answer:

Misrepresentation.

Explanation:

In this scenario, on its advertisement, a company claims that it has funds in its possession that are in fact not available for payment of losses or claims. The company is guilty of misrepresentation.

Misrepresentation can be defined as an untrue or misleading statement of fact made by a party to an individual or group of people to deceitfully lure or induce them to go into a contract. A company stating in its advert that it has funds in its possession but in the true sense or actual fact do not have the funds for payment of losses or claims; such a company is engaging in a fraudulent act and is liable to prosecution in any court of competent jurisdiction.

8 0
3 years ago
When total production is greater than total expenditures, __________ is produced than households want to buy, which leads to ___
Tom [10]
If the total production exceeds the total expenditures this means that there are more goods are produced than the demand of each households. Thus, this will lead to an increase of inventory. Then this will signal the manufacturing firm that they have overproduced the goods which will lead to cut back the production. This leads to lesser prices and/or unsold goods alongside with the likelihood of unemployment. Therefore the answer is d.
6 0
3 years ago
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