Question: Amazing Fresh is an omnichannel retailer. They receive inventory from their suppliers with a 3-week lead time. They review their inventory every week, i.e., their review period is 1 week. Assume they operate 52 weeks per year and they use the order up-to model for choosing how much to order.

A 1-gallon "antiviral" liquid soap container sells on average one container every week at one of the stores. (Mean demand is small here, Use Poisson distribution). Suppose they want to minimize inventory while achieving at least a 0.9900 in-stock probability. What order up-to level (in containers) should they use?

Price: $2.99

Solution: The downloadable solution consists of 2 pages
Deliverable: Word Document