But the company has made breakthrou

But the company has made breakthrough. It now makes a crucial distinction between derived demand-such as the contractor’s bulk order-and independent demand. The company shifted its emphasis from forecasting the spikes in independent demand to demand planning for the derived demand. (See discussion below and the sidebar, “The Three Types of Demand” on page 40.) The is a new demand planning policy : the ballast maker now offers contractors a 3-pereent price discount on any orders in excess of 10,000 that are placed five