Answer to Question 1
B
Answer to Question 2
With a JIT system, a firm's suppliers deliver their products directly to the firm's manufacturing center, usually in frequent small shipments, just as they are needed for production. Factory location becomes particularly critical when the just-in-time (JIT) inventory management system is
adopted. The JIT system requires careful coordination between a firm and its internal and external suppliers. Often parts suppliers locate their facilities near the factories of their major customers to meet the JIT requirements of their customers.
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