APICS Certified Supply Chain Professional (CSCP) — Question 101

A company has made a strategic decision to introduce products to improve profitability. Which of the following issues should the company be concerned about most while implementing this decision?

Answer options

• A. Reverse supply chain
• B. Unpredictable demand
• C. Warranty and repair
• D. Patent security

Correct answer: B

Explanation

The correct answer is B, as unpredictable demand can significantly affect profitability by leading to overproduction or stockouts. While the other options are important, they do not directly impact the immediate financial outcomes of launching new products as much as demand variability does.