A grocery store allows a cereal supplier to replenish cereal boxes when the inventory quantity reaches less than or equal to 100 units. Which replenishment technique is the store using?

A fixed quantity system involves ordering a specific quantity of inventory each time a restock is needed, regardless of the current inventory level. While it sets a consistent order size, it does not specifically relate to the threshold of 100 units mentioned in the question, which is characteristic of a reorder point approach.

The economic order quantity is a formula used to determine the optimal order size that minimizes total inventory costs, including holding and ordering costs. Although it aims to optimize inventory management, it does not directly dictate when inventory should be replenished based on a specific threshold like the one described in the question.

A reorder point refers to the inventory level at which a new order should be placed to replenish stock before it runs out. While this technique is relevant, it does not encompass the broader responsibility taken by the supplier in a vendor managed inventory system, which includes actively managing stock levels and timely replenishment.