Product Suite

Supply Chain Glossary - L

Supply Chain Glossary - L

loss leader pricing

Pricing some products below cost to attract customers into the store, in the expectation that they will buy other items as well.

The complement of utilization, that is one minus the utilization factor. It is the percentage of time lost to machine, tool, and worker unavailability. It can be calculated as the planned hours minus actual hours used, divided by the planned hours. See: balance delay, utilization.


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