Photo AI
Outline two benefits of a good stock control system for a business: Benefit 1: Benefit 2: - Leaving Cert Business - Question 4 - 2012
Question 4
Outline two benefits of a good stock control system for a business: Benefit 1: Benefit 2:
Worked Solution & Example Answer:Outline two benefits of a good stock control system for a business: Benefit 1: Benefit 2: - Leaving Cert Business - Question 4 - 2012
Step 1
Benefit 1: Customer demands will be met
Answer
A good stock control system ensures that the correct amount of stock is maintained at all times. This means that businesses can meet customer demands promptly, as they will have the necessary products available whenever needed, thereby enhancing customer satisfaction and loyalty.
Step 2
Benefit 2: Efficient use of working capital
Answer
Effective stock control helps businesses utilize their working capital more efficiently. By avoiding excessive inventory, businesses ensure that funds are not tied up in stock that they do not need, allowing more flexibility in investment and cash flow management.