Week 1: Hospitality Procurement & Purchasing Flashcards
1
Q
Responses to inflation and supply chain issues
A
- Paying for goods in advance
- Extending lines of credit
- Working with suppliers to extend delivery windows
- Downsizing product lines
2
Q
Combating fuel surcharges and base freight costs
A
- Working with Freight consolidators
- Considering slower shipment options
3
Q
What a brand’s ability to sustain its growth during downtime and ramp up for peak seasons
A
Working capital
4
Q
Consequences of rising costs
A
- Excess or surplus inventory
- Mounting storage fees
- Smaller margins
- Lower revenue
5
Q
First steps to combating inflation
A
Understanding how it affects business and then taking steps to help the business survive
6
Q
How to reduce operational overhead to combat inflation
A
- Resolve inefficiencies with inventory management
- Re-assess variable costs
7
Q
A
