scenario. The company began with a pilot operation using a manufacturer in Malaysia. Being a

single component, there was also no way to pay less in the way of duties. Intel had already whittled

packaging down to a minimum and with a high value$-$to$-$weight ratio, the chips' distribution costs

could not really pared down any further.

$1-$The first option is to try to reduce levels of inventory, and incrementally reduce order cycle time

in order to:

a$.$ take advantage of diseconomies of scale and increase cost within the supply chain.

c$.$ take advantage of diseconomies of scale and reduce cost within the supply chain.

C$.)$ take advantage of economies of scale and reduce cost within the supply chain.

$2-$ Second option is to aggregate across items, retailers, or suppliers in a single order will allow for a

reduction in lot size for individual products due to

a$.$ fixed ordering and transportation costs are now charged to retailers.

suppliers.

$3-$ Third option is to consider Intel Company has a market power, so the coordination in the supply

chain could achieved and supply chain profits maximized using

a$.$ volume based quantity discounts.

b$.$ marginal unit quantity discounts.

c$.$ all unit quantity discounts.

$4-$ Which one of the following strategies has the highest impact of the coronavirus to influence

Intel's supply chains in the short run not in the long run term:

a$-$ Have proactive plans for future impacts.

b$.$ Work with our suppliers to share coilective resources including planes and trucks, to deliver the

best solution for our customers.

c$.$ work closely with our suppliers to help ensure their employees' health and safety, provide

supplier assistance.

$5-$With a purchase agreement in place and terms defined, a trusted vendor will deliver goods and

services, when needed according to predetermined delivery dates. Agreements of this type of cost

reduction program $-------------,$ are often extended year over year as companies and vendors build

working relationships. The vendor, in turn, realizes the benefit of a guaranteed long$-$term order with

adequate time to prepare the goods for delivery.

a$.$ Forward buying

$($b$)$ Blanket orders

c$.$ Integrated supply

Oquestion No$\mathrm{.}2$: $(10$Marks$)$

$1-$ Zara sources basic products such as white $t-$shirts from low cost countries because demand is

predictable. For trendy products for which demand is unpredictable, Zara sources from company$-$

owned higher cost factories in Europe. For the predictable demand, Zara strives for,

for the unpredictable demand, Zara hopes to achieve

a$.$ efficiency; responsiveness

b$.$ large variety; low demand

c$.$ cost of transportationName

Qquestion No$\mathrm{.}1$: Read the following cases and then choose the right answer: $(10$ Marks$)$

Case $1$: Dell had no in$-$house stock of finished goods inventories unlike competitors using

traditional value chain model. It did not have to wait for reseller to clear out their own inventorie

before it could move new models into the marketplace. In addition, Dell use new approach, whic

eliminates one or more steps in the supply chain and minimizes the cost of various facilities in the

shipper's supply chain network.

$1-$Dell often constrained by inventory and capacity decisions that made in:

a$.$ speculative process

b$.$ push process

c$.$ pull process

$2-$ Which transportation network option establishes in Dell Company?

a$.$ direct shipping network

b$.$ direct shipping with milk runs

c$.$ shipping via DC using milk runs

$3-$ Dell supply chain characterized by

a$.$ long$-$term relationship with the suppliers

b$.$ zero product variety

$($c$.)$ individual customization

$4-$Distributors add value to a supply chain between a supply stage and a customer stage

a$.$ if there is a small number of customers requiring a large amount of product.

b$.$ if there is a large number of customers requiring a large amouint of product.

C$.$ if there are many small players at the customer stage, each requiring a small amount of the

product at a time.

$5-$A small LTL shipment that originates on a truck in Los Angeles and is moved to Phoenix where it

is unloaded and put onto another truck for final shipment to Denver would be considered an

intermodal shipment since it utilizes more than one vehicle during shipment.

a$.$True

$($b$)$ False

Case $2$: Intel is one of the world's largest manufacturers of computer chips. The company needed

to make some significant supply chain cost reductions after bringing its low$-$cost "Atom" chip to

market. Supply chain costs of around $$5\mathrm{.}50$ per chip were bearable for units selling for $$100,$ but

the price of the new chip was a fraction of that, at about $$20.$ Somehow, Intel had to reduce the

supply chain costs for the Atom chip based on the semiconductor industry: a true make$-$to$-$order