Bullwhip effect Flashcards

1
Q

Bullwhip effect causes?

A
  • lost capacity
  • hiring/firing of employees
  • poor customer service level
  • excess stock
  • poor supplier deliveries
  • poor public image

CREATES EXTRA COST

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2
Q

Price fluctuctuaions

A

non constant purchase prices of the product

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3
Q

Rationing/gaming

A

strategic ordering behaviour of buyers when supply is anticipated

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