Demand and Stores

Demand and Stores Coursework example
High school
Coursework
Marketing
Pages 3 (753 words)
Download 0
Name: Course: Instructor: Date: Demand and Stores Solution to Question 1 According to Simchi-Levi et al (2008) under a continuous review inventory replenishment policy, inventory is continuously monitored and an order for Q units is placed when the inventory level reaches the reorder point that has been established…

Introduction

Therefore, the average daily demand during lead time is equal to L ? AVG. The safety stock is determined scientifically and is applied with the average daily demand during lead time to ensure that there is an adequate supply of inventory is in stores to prevent a loss of sale due to stock-out. The safety stock, which is the minimum level to which stock is expected to fall, is represented by the formula: z ? STD ? vL It is expected that inventory will fall to this minimum level just before the order for Q is received. Immediately after the order for Q units is received the inventory will return to its maximum level but will be depleted over time based on the average daily demand (AVG). The reorder level depends on AVG which is reviewed continuously. When Q units are added to the safety stock the maximum inventory level is achieved. This inventory is depleted over time. Therefore, it is expected that the expected level of inventory before receiving the order is: z ? STD ? vL While the expected level of inventory immediately after receiving the order is: Q + z ? STD ? vL Solution to Question 2 The periodic review inventory replenishment policy requires that inventory be reviewed periodically at regular intervals and that an appropriate quantity is ordered so as to achieve the base stock level after each review. ...
Download paper
Not exactly what you need?

Related papers

Claire's Stores
in 1973. Previously, it known as FT Industries after the acquisition of Fashion Tress, Inc. in 1961, and the new name was conceived in 1983, two years before getting enlisted with the New York Stock Exchange. The latest one, however, had been the biggest of all deals and eventually the most popular one with 60 stores scattered in different parts of Chicago. 1994 saw the industry moving out of…
The Importance of Derived Demand in B2B Marketing (Coca Cola).
The objective of the paper is to analyze the derived demand aspects of Coca Cola along with the segmentation and marketing channel used by the company. Several aspects such as competitors’ products, substitute products, raw materials and demographic factors among others can help to analyze the derived demand for Coca Cola’s products in market. Coca Cola, as a reputed band with operations all…
Entrepreneur Marketing: Demand Forecasting
In fact, the paper will discuss techniques applied in marketing demand forecasting. Information concerning the future demand is vital to the firms, for pursuing optimal pricing strategy; hence, the decision to change prices is made considering the future demand. In case where is over-optimism in relation to the estimates of demand, this may result to losses, whereby the demand influence a certain…
effects of franchised and international fashion stores on local clothing retailing and its relation to global marketing stratgie
This situation analysis has been assessed and promulgated customised strategy under the “Global Marketing Strategies”. We have collected data relating to the Saudi woman and their frequency of visiting particular band irrespective local or international, and also Saudi market itself to harness what are the marketing mix positioning and strategy practiced in domestic shape. We have observed and…
"The role of retailer branding strategies within retail stores"
Talking in a more elaborate manner, it can be said that the high-level communication technologies have helped in the process of diffusing the globalization trends around the world. As a result of the fast spreading of trends of globalization in various markets, it can be said that the consumers located in various regions, countries and continents around the world have started demanding a more…
Retailing stores
This understanding remains an essential component in development of services aimed at providing sufficient customer satisfaction. The study comprises of a population of all registered retailing outlets with samples of hundred stores in each country. Stratified sampling shall be utilised in sampling of the selected retailing stores within the population. Data analysis and processing shall be…
Critical evaluation of two luxury brand stores
Such kinds of people have high purchasing power and hence they go for such kinds of products. When one buys something of luxury brand one can genuinely feel the difference. Luxury brands grow and expand even when the economy goes down. People spend thousands of dollars to buy such kind of products. In this paper two luxury brands Hermes and Chanel will be considered. Hermes is a French…