Question

A strategy to manage unexpected surges in demand that The Gap, a retail store, can utilize is:______

a. Inventory buffers
b. Reducing flexibility
c. IT systems
d. Outsourcing
e. a and b

Answer 1

a. Inventory buffers

Step-by-step explanation:

When a retail store foresee unexpected increase in the demand of its products, such could use what is called inventory buffers to manage the situation.

Inventory buffers helps to provide better customer service by ensuring that a situation where a retail store is out of stock is prevented; thus eliminate the severity of stock out scenario. Essentially, inventory buffers also known as safety stock help to curb supply, which be excessive in terms of demand forecast.