Question

Demand and Inventory Management

Visit a local business and identify and discuss the different types of inventory used to support their operations.

Please make it at least 200 words.

Answer 1

For a local business, demand and inventory plays a vital role in the development of the business. The local businessmen need to maintain their inventory as they can not keep all the products at their store, so they should have a warehouse to store their products and maintain their inventories easily. The demand for the product rises when it is having a good sale, and the customers' reviews are also equally good. For the local businessmen, if the demand for his product rises, it will increase the sale of that product, and the businessman will see a rise in his business, and there will be the achievement of his business objectives effectively and efficiently. Different types of inventories include raw material, work in progress, finished goods, packaging, which completes the product so that customers can use it, and take full advantage of the product. These inventory types are crucial and help in manufacturing or producing any product which afterward ready for selling in the market. Firstly, the purchase of raw material from various places is changing into finished goods, and after that, the packaging process is done, which includes labels and ingredients and much other information about the product. After this, the product is ready for selling in the market, and the customers can buy it and fulfill their needs and desires. It helps the local businessman enhance his business and provide satisfaction to their customers with the right quality products and services.