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Which of the Following Is a Disadvantage of Vendor-Managed Inventory

Question 9

Multiple Choice

Which of the following is a disadvantage of vendor-managed inventory (VMI)


A) It often results in higher customer inventories than necessary.
B) It does not allow vendors to view inventory needs from the customer's perspective.
C) It prohibits the use of customer information, which leads to poor control of inventory and capacity.
D) It prevents vendors from making production decisions using downstream customer demand data.

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