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GLOBAL EDITION
Sunil Chopra
Kellogg School of Management
Northwestern University
Peter Meindl
Barclays Global Investors
Boston Columbus Indianapolis New York San Francisco Upper Saddle River
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CONTENTS
Preface 15
Part IV P l a n n i n g a n d M a n a g i n g I n v e n t o r i e s
in a S u p p l y C h a i n 2 6 3
Chapter 10 Managing Economies of Scale in a Supply Chain: Cycle
Inventory 264
10.1 The Role of Cycle Inventory in a Supply Chain 264
10.2 Estimating Cycle Inventory-Related Costs in Practice 267
10.3 Economies of Scale to Exploit Fixed Costs 269
10.4 Economies of Scale to Exploit Quantity Discounts 281
10.5 Short-Term Discounting: Trade Promotions 291
10.6 Managing Multiechelon Cycle Inventory 296
10.7 Summary of Learning Objectives 299
Discussion Questions 300 • Exercises 300
Bibliography 302 • Case Study: Delivery Strategy
at MoonChem 302 • Appendix 10A: Economic Order
Quantity 304