Asked by Taran Thiara on May 07, 2024

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Inexpensive production methods should be used for unpredictable demand while more expensive production methods should be used for stable demand.

Production Methods

Various approaches and techniques used in the creation of goods and services, including mass production, batch production, and custom production.

Unpredictable Demand

A market condition where the desire for products or services cannot be accurately forecasted due to variability in consumer behavior, trends, or external factors.

Stable Demand

Relates to a market condition where the desire for a product or service remains relatively constant over time.

  • Understand the principle of delay as a tactic in supply chain management to enhance operational efficiency.
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TG
Tyron GreavesMay 09, 2024
Final Answer :
False
Explanation :
Inexpensive production methods are often more flexible and suitable for unpredictable demand, allowing for adjustments without significant losses. Expensive production methods, typically involving higher fixed costs, are better suited for stable demand where output levels are predictable and consistent, ensuring the high initial investment is justified by steady sales.