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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: hdl who wrote (147221)	11/12/1999 8:17:00 AM
From: edamo	Respond to of 176387

hdl....re "inventory" at some point the "inventory" based manufacturing model depletes itself of low cost material. if the replenishment takes place at a higher cost, they must carry this costing forward. the bto/jit model inherently can react to any up/down price movement of component purchase. the latter method tends to smooth average cost basis in a more advantageous manner then the former. increase in costs of components for the bto/jit in fact may be less then the carrying cost of long term inventory. most importantly, bto/jit can react quickly to new technology and customer requirements....