Pull or Make-to-order describes producing stock in response to actual demand.

• A. Producing stock in response to actual demand
• B. Producing stock on the basis of anticipated demand
• C. Producing stock after customer orders
• D. Producing stock to fill backorders immediately

Answer: (A)

Pull or Make-to-order centers on triggering production only when there is real demand. That means no stock is built ahead of customer needs; work starts after a signal from a customer order or a verified demand event. In Make-to-Order, items are produced in response to that actual demand, so finished goods aren’t kept in large inventories waiting for forecasted sales. That direct link to the true demand signal is what makes the description “producing stock in response to actual demand” the best fit.

Producing based on anticipated demand describes a push approach, where you forecast and build stock in advance, which is the opposite of pull. Producing after customer orders aligns with Make-to-Order, but the emphasis on responding to actual demand signals is the defining aspect that the statement highlights.