Advertisements
Advertisements
Question
Statement I: For products requiring long term storage like agricultural products, the warehouses are located near to the market.
Statement II: Higher the level of inventory, higher will be the level of service to customers but the cost of carrying the inventory will also be high.
Options
Statement I is true and II is false
Statement II is true and I is false
Both the statements are true
Both the statements are false
Solution
Statement II is true and I is false
APPEARS IN
RELATED QUESTIONS
Explain Physical Distribution major components
Explain the components of physical distribution.
Under which of the following conditions does a business need not maintain the high level of inventory?
|
“Best Electronics’ started manufacturing washing machines under the brand name ‘Amaze’. Once the washing machines were ‘manufactured, packaged, branded, priced and promoted, they had to be made available to the customers at the right place, in the right quantity and at the right time. “Best Electronics’ provided for accurate and speedy processing of orders so that the washing machines reach the customers in time, in the right quantity and specifications. They also ensured that the washing machines are physically made available to the customers. Further, ‘Best Electronics’ arranged for facilities to store the washing machines at different locations near the market to minimize the charges on transportation. |
Explain any three components of physical distribution discussed in the above case.
