Distributors of all kinds are now facing challenges to their survival and success as today’s difficult economy puts increasing pressure on inventories. As competition intensifies, costs rise, customer expectations increase, and profit margins continue to shrink, the margin for error around inventory management has continuously narrowed. Now, wholesalers/distributors are forced to confront the dilemma associated with inventory. They must determine how to keep stock levels as low as possible without sacrificing customer service.
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