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Which of the following accurately describes supply chain activity related to the

ID: 397310 • Letter: W

Question

Which of the following accurately describes supply chain activity related to the bullwhip effect? Select all that apply. A. When a small increase at the OEM level increases exponentially throughout the supply chain, resulting in a large demand increase farther back in the channel. B. When product demand information is not fully shared in supply chain or went updated forecast or not communicated accurately. C. When a firm combines orders that concentrate demand at one point in time, or use price changes that change demand. D. When a government(local, state or federal) places tariffs on on related goods. Which of the following accurately describes supply chain activity related to the bullwhip effect? Select all that apply. A. When a small increase at the OEM level increases exponentially throughout the supply chain, resulting in a large demand increase farther back in the channel. B. When product demand information is not fully shared in supply chain or went updated forecast or not communicated accurately. C. When a firm combines orders that concentrate demand at one point in time, or use price changes that change demand. D. When a government(local, state or federal) places tariffs on on related goods. A. When a small increase at the OEM level increases exponentially throughout the supply chain, resulting in a large demand increase farther back in the channel. B. When product demand information is not fully shared in supply chain or went updated forecast or not communicated accurately. C. When a firm combines orders that concentrate demand at one point in time, or use price changes that change demand. D. When a government(local, state or federal) places tariffs on on related goods.

Explanation / Answer

A. When a small increase at the OEM level increases exponentially throughout the supply chain, resulting in a large demand increase farther back in the channel.

The bullwhip effect is the inefficiency of forecasts that may effect the supply chain of an organization to a great extent.

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