Pull Strategy

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Pull Strategy

A “pull strategy” is a production and distribution approach centered around fulfilling specific customer demand. In a pure pull strategy, goods and services are only produced and shipped in response to customer orders. This method contrasts with a push strategy where products are manufactured based on projected demand. An example of a historical pull strategy is the DELL model of PC production to order. By adopting a pull strategy, companies aim to minimize inventory costs, reduce waste, and increase customer satisfaction by delivering products tailored to their preferences. Pull strategies rely on effective demand forecasting, agile production processes, and efficient supply chain management to ensure timely and accurate order fulfillment based on real-time customer demand.

 

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