Benefits of holding inventories, Business Management

Assignment Help:

There are three main purposes or motives of holing inventories:

a. The transaction Motive : Which facilitates continuous production and timely execution of sales orders .

b. The precautionary Motive which necessitates the holding of inventories for meeting the unpredictable change in demand and supplies of materials.

c. The speculative Motive which induces to keep inventories for taking advantage of price fluctuations saving in re ordering costs and quantity discounts etc.


Related Discussions:- Benefits of holding inventories

Advise the parties, On the 10 th of March 2009 Moot enterprise Ltd posted ...

On the 10 th of March 2009 Moot enterprise Ltd posted an offer to sell 1,000 set of encyclopedias to the Ministry of Education for the price of Rs 1,000,000 and that the offer wou

Strategic operations, Integrate operations management analysis into general...

Integrate operations management analysis into general business management planning and decision making

Why is policy advocacy important, QUESTION 1 (a) Distinguish between po...

QUESTION 1 (a) Distinguish between policy analyses and policy advocacy. (b) Why is policy advocacy important? (c) Why is it questionable that policy analysis can ever "so

Determine the purpose, Linking Strategic Organizational Initiatives to Purp...

Linking Strategic Organizational Initiatives to Purpose, Mission, and Vision Select an existing business that is entering into a new or emerging market for that company. You may

Team leadership, Identify and explain what you think Levi Strauss & Co. did...

Identify and explain what you think Levi Strauss & Co. did well and did poorly in implementing its team reorganization. Be sure to relate your observations to Hackman''s research

Raising barriers to entry using information system, Q. Raising barriers to ...

Q. Raising barriers to entry using information system? By investment in information technology a firm could as well erect barriers to entry that would discourage or delay other

Explain any two motivational theories, QUESTION 1 (a) Define the concep...

QUESTION 1 (a) Define the concept of span of control (b) Describe the factors that may impact on the choice of the organization structure (c) What are the different busin

Technology used for communication, Question 1 Since 2000, Tizil Company...

Question 1 Since 2000, Tizil Company Ltd manufactures Teddy bears which it exports to European countries. It has several factories located in Mauritius and in Rodrigues. With

A source perspective and a receiver perspective, QUESTION 1 The best in...

QUESTION 1 The best indicator of behaviour is intention. a) Describe the theory you would use to explain the above and explain the importance of this theory. b) Elaborate

What are the objectives of the trade unions, What are the objectives of the...

What are the objectives of the trade unions? The Objectives of trade unions are illustrated below: a. To take labour out of the competitive procedure; because when a number

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd