11 If a firm uses a just in time inventory system what effect is that likely to have on the number and location of suppliers?

A just-in-time (JIT) inventory system typically requires a firm to maintain close relationships with a limited number of suppliers to ensure timely delivery of materials and components. This often leads to the selection of suppliers located nearby to minimize lead times and transportation costs. Consequently, firms may reduce the overall number of suppliers to streamline operations and enhance coordination, focusing instead on building strong partnerships with a few key suppliers.