A European apparel store has started selling through its online channel along with its retail stores. Management has to decide which products to carry at its retail stores and which to carry at a central warehouse to be sold only via the online channel. The company currently has 250 retail stores across Europe. Weekly demand for size 10, boot cut jeans at each store is normally distributed, with a mean of 600 and a standard deviation of 150. Each pair of jeans costs €50. Weekly demand for full length black winter coats at each store is normally distributed, with a mean of 20 and a standard deviation of 10. Each coat costs €120. The company has an annual holding cost of 20 percent. They manage all inventories using a continuous review policy, and the supply lead time for both products is three weeks. The targeting CSL is 90 percent. When moving each of the two products from the stores to the online channel, how much reduction in holding cost per unit sold can the company expect? Which of the two products should the company carry at its stores, and which should it carry at the central warehouse for the online channel? Why? Assume that the demand across stores and from one week to the next to be independent.