Discussion Questions:
1. Given the uncertainty associated with player demand, how should Reebok approach inventory planning for NFL replica jerseys? Which inventory model discussed in this class is particularly helpful here?
2. Using the forecast for the New England Patriots, consider a strategy where dressed jerseys for each star player and blank jerseys for all other players are ordered from the contract manufacturer (CM), and the blank jerseys are then dressed at Reebok (Indianapolis) afterwards. What is the service level for each type of jerseys? How to make the ordering decision? What profit do you expect for Reebok?
3. How would risk pooling help Reebok manage uncertain demand? Again, using the forecast for the New England Patriots, consider a simple risk pooling strategy where only blank jerseys are ordered from CM for the entire team, and are dressed at Reebok (Indianapolis) afterwards. How much improvement can this strategy bring?
Attachment:- Reebok Case.rar