Practice Quiz

Supply Chain Manager Exam Prep

Category - Design and Improvement

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Firms that target customers who value short response times need to be _________.

  1. Located near consumers
  2. Located far from consumers
  3. Able to move from one place to another
  4. All of the above
Explanation

Answer: A - Firms that target customers who value short response times need to be located close to the consumers. These firms must have facilities, with each location having low capacity. Thus, a decrease in the response time of a customer's desire increases the number of facilities required in the network.

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