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Existence of stock in the manufacturing industry

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The existence of stock in the manufacturing industry have been long regarded as "extra cost" activities. Modern ?rms are reducing the spending in the warehouses in an attempt to reduce the operation cost. Argue on the reasons why the concept of keeping a lot of inventories should be treated as an "investments" in the manufacturing industry rather than "cost" incurred in Operations.

Reference no: EM133092900

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