Chase Strategy: - Matches production to demand by adjusting workforce levels (hiring/layoff). - Best when hiring/layoff costs are low and inventory carrying costs are high. - Leads to stable inventory levels but potentially high workforce turnover and associated costs. - Other strategies include Level Strategy (constant workforce, varying inventory) and Hybrid Strategies. Hiring and layoff cost is high: Favors strategies that minimize workforce adjustments, like level production or inventory building. Inventory carrying cost is low: Makes it easier to absorb demand fluctuations through inventory. Overtime production cost is high: Discourages strategies that rely heavily on overtime.