In the retail sector, several concepts of the modern supply chain are used to improve the efficiency. Which of the statements below is not correct?
Vendor managed inventory (VMI) is widely practiced in the retail industry and is also known as continuous replenishment, or supplier managed inventory.
Electronic data interchange (EDI) is a critical technology in the use of category management and continuous replenishment.
Radio frequency identification is a technology that uses radio waves for close integration of partners in the retail industry.
Collaborative planning, forecasting and replenishment (CPFR) are widely used in the retail, for stimulating trust between supply partners.
Which of the statements about VMI is not correct?
Electronic data interchange (EDI) can be an addition to the VMI process.
Vendor managed inventory (VMI) is widely practiced in the retail industry and also known as continuous replenishment.
Some drawbacks of VMI are employee acceptance and trust among supply chain partners.
Benefits of VMI are maximization of the bottom line and reduced shipping costs.
Which statement about the developments in trade and retail is not correct?
Changes in consumer behavior have a major impact on strategies of retailers.
Globalization of manufacturing organizations is a trend that is also seen in the retail industry.
Less retail companies embrace private labels or company brands.
Green issues, like ecological consideration, are growing in importance.
Which of the statements, about the structure and organization of the buying process in the retail sector, is correct?
As the life cycles of products in retail are long, it is difficult to assess the effectiveness of decision making.
The buying-selling cycle has the following stages: determining product assortment policy, selection of suitable supplier, contractual agreement, ordering, expediting and evaluation.
Advanced information systems have enabled ‘automatic replenishment’ in the retail sector.
The function of the retail buyer is focused on straight buying and is of minor importance to the retailer.