Question: How can a supplier with a lower price end up
How can a supplier with a lower price end up costing the buyer more than a supplier with a higher price?
Answer to relevant QuestionsWhat are some strategic planning and operational decisions that must be made by an apparel retailer like The Gap? Reconsider the previous four questions for other companies such as Amazon.com, a supermarket chain, and auto manufacturer, and a discount retailer such as Wal-Mart. Explain why, for the same inventory level, a revenue-sharing contract results in lower sales effort from the retailer than if the retailer has paid for the product and is responsible for all remaining inventory. For products such as home appliances, toys, garments, and consumer electronics, what factors would influence selecting an onshore, near-shore, or offshore supplier? How can a golf course use revenue management to improve financial performance?
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