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The Bullwhip Effect refers to ____.

3. The Bullwhip Effect refers to ____.

  1. Smooth supply chain operations
  2. Consistent demand patterns
  3. Amplification of demand fluctuations
  4. Minimal inventory holding costs


The correct answer is: C) Amplification of demand fluctuations


The Bullwhip Effect describes the phenomenon where small fluctuations in demand at the consumer level can lead to significant fluctuations upstream in the supply chain.

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