Question

Which of the following is a disadvantage of push systems?

a. They are not effective when sales patterns are consistent.
b. They are not effective when there are few distribution centers and products.
c. They increase transportation costs in a supply chain.
d. They result in higher costs when forecasting sales is difficult.

Answer 1

A disadvantage of push systems in the supply chain is that they result in higher costs when forecasting sales is difficult. So, the correct answer is option d.

Step-by-step explanation:

A disadvantage of push systems is that they result in higher costs when forecasting sales is difficult. In a push system, products are produced and pushed through the supply chain based on sales forecasts. When the sales forecast is inaccurate or uncertain, there is a risk of producing too much or too little, leading to higher costs and potential inefficiencies.

So, the correct answer is option d.