Lesson 1 Assessment – 25 marks

True/False (10 marks)

1. The last decade of the twentieth century was a period of rapid change for
organizations, especially businesses.
2. A key element in Wal-Mart’s ability to discount brand name products was an
understanding of the criticality of efficiency in its logistics and supply chain
system.
3. Globalization has had little effect on consumers.
4. Supply and demand has become less volatile as managers become more adept
at controlling the elements.
5. Supply chain managers no longer need to worry about suboptimization in light of today’s
technology.
6. To hold down distribution cost, the lowest cost carrier should always be used.

7. The utility created through the basic marketing activities is known as place utility.

8. Transportation is the physical movement or flow of goods.

9. During the 1990s and 2000s, logistics costs as a percentage of gross national
product declined.
10. In a logistics system, warehousing should be optimized at the expense of related
logistics activities, such as transportation and procurement.

Short Answer (15 marks)

Target opened a network of retail stores in Canada in 2013 but by April 2015 had exited
the market after a short lived unsuccessful launch.  There are a number of issues that
have affected their performance and the decision to pull out of Canada, not the least are
challenges they have faced in the establishment and management of their supply chain.
Making reference to some of the key 10 key issues in managing a supply chain that are
highlighted in the readings in Chapter 1, write a short one page assessment as to what
you feel are the key 3 or 4 factors that have affected Target's Canadian supply chain
and impacted their ultimate decision to leave Canada. 
TRUE/FALSE

1.TRUE
2.TRUE
3.FALSE
4.FALSE
5.FALSE
6.FALSE
7.FALSE
8.TRUE
9.TRUE
10.FALSE

SHORT ANSWER
Poor execution and large losses would have led to Target leaving Canada
almost as quickly as it had arrived.

 Price-As target company entered the Canadian market in 2013, there

would’ve been existing companies with huge loyal customers, inorder to
compete with them the target company should’ve provided the products
with less price, in my view the target would’ve sold products with high cost
and this could be one of the potential reason for them to leave the
Canadian market.
 Transportation-the Target company should’ve concentrated on whether
they are getting the materials delivered from Suppliers to customers this is
where most of the companies have issues and this can be the main reason
for companies to attain loss.

 Performance measurement- A company which involves in production or

selling should always do the analysis on how efficiently they are
progressing, in my point of view target company wouldn’t have done this,
as they entered the market 2013 and left the Canadian market on April
2015 which is very short span of time for the company in Canada.

 Talent Management- In my opinion, Target company wouldn’t have hired

potential managers for the company, if the managers works efficiently by
getting the work done from his employees the internal works such as
shipping, deliveries, analyzing the day to day works and by completing
those the company would’ve survived relentlessly.