Question: A demand - driven MRP supply chain basically...Builds massive inventory at the retailer level that provides flexibility with market conditions and assures stock at all

A demand-driven MRP supply chain basically...Builds massive inventory at the retailer level that provides flexibility with market conditions and assures stock at all timesAssumes low demand and builds inventory only when a backlog of orders occurs providing a low inventory cost approachO Relies on seperate inventory to replenish supply chain and takes lead times, normal cycles and safety stock into considerationThe retailer and manufacturer providing a higher cost item available within a short time after demand is determined. Often used for luxuryitems that have a higher cost to produce

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