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How to Alleviate the Bullwhip Effect in the Supply Chain

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Discuss how each of the following helps to alleviate the bullwhip effect?

1. E-Commerce and the Internet

2. Express Delivery

3. Vendor-managed inventory

4. Collaborative forecasts

5. Everyday low pricing

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Discuss how each of the following helps to alleviate the bullwhip effect?
1. E-Commerce and the Internet: They provide the demand information needed by upstream parties such as suppliers. For this reason, e-commerce and internet must be accurate in the data they provide as it helps mitigate the Bullwhip Effect. Miscommunication of demand information causes distortion of information which causes demand variability.
E-commerce eliminates intermediaries and can easily provide the point-of-sale demand information to the supply chain partners. This decreases variation and an increase in the availability of demand information. The result is an ...

Solution Summary

The solution explains how the following can help alleviate the Bullwhip Effect in the supply chain: e-commerce and internet, express delivery, VMI, collaborative forecasts, and everyday low pricing. The solution is 411 words with 2 non-APA references.

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