Why would a firm want to offer pricing promotions during its low-demand periods?
Answer to relevant QuestionsWhat is the bullwhip effect and how does it relate to lack of coordination in a supply chain? How do trade promotions and price fluctuations affect coordination in a supply chain? What pricing and promotion policies can facilitate coordination? The manager at the supermarket in Question 1 wants to decrease the lot size without increasing the costs he incurs. What actions can he take to achieve his objective? As a firm gets better at postponement (can postpone at lower cost), should it increase/leave unchanged/decrease the variety that it offers? Why? A new technology allows books to be printed in ten minutes. Barnes & Noble has decided to purchase these machines for each store. They must decide which books to carry in stock and which books to print on demand using this ...
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