A vendor$-$managed inventory system is an

Multiple Choice

inventory management system whereby the supplier determines the product amount and assortment a retailer needs and automatically delivers the appropriate items.

inventory system that guarantees delivery within $48$ hours, granting price reductions of $1$ percent per hour if a shipment is delayed.

inventory supply system that operates with very low inventories and requires fast on$-$time delivery.

inventory supply system that relies on the judgment of individual warehouse managers based on daily reports from its retailer customers.

inventory management system that is designed to reduce the retailer$$s lead time for receiving merchandise, which then lowers its inventory investment, improves customer service levels, and reduces logistic expenses.