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A retailer wants to improve its service level in inventory management from 95% to 97%. Which of the following is the best course of action?
Correct Answer: C
For single items, an extra investment in inventory (higher levels of safety stock) will always in-crease customer service levels. Conversely, higher service levels imply larger quantities of safety stocks and an increased investment in inventory. (Procurement and Supply Chain Management - 9th Edition)