3.1.2.3.3 Just In Time (JIT)
Completion requirements
For some businesses, the goal is to carry the maximum amount of inventory for the lowest cost.
Other businesses favour the just-in-time
(JIT) approach (i.e, keeping a low inventory and purchasing new products when necessary). If JIT is to be successful, channel members must be closely coordinated.
If suppliers cannot get products to stores fast enough, stockouts can result.
If suppliers cannot get products to stores fast enough, stockouts can result.