Answered: The option attempts to absorb the…

Business

Operations Management

The option attempts to absorb the demand fluctuations is : Capacity option Demand option

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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We run a fresh produce stand at farmer’s market where we sell avocados and artichokes. Each morning, a supplier drops off bags of these products. We can buy up to 200 bags of avocados and up to 175 bags of artichokes each morning. We resell the bags to customers throughout the day. The contribution margin of avocados is $15/bag; the contribution margin of artichokes is $20/bag. We sell at least twice as many bags of avocados as we do artichokes. We have found that our normal daily demand is between 140 and 350 total bags what are the constaints
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1) Assume that you are a manager of one of the hotels in the UAE. As you know, UAE has an excellent weather from October to April, so the room occupancy rate is high during this period. However, the occupancy rate becomes low during the period from May to September due to the hot weather and this happens every year. Based on the above information: 1- What is type of demand state that you face in this situation? Explain it? 2- And explain how can you manage this demand state in detail? 2) In this course, you were requested to provide relevant recommendations to intensive growth strategies for a selected hotel of your choice in the UAE, write a report to explain each one of them and show their relevant recommendations as follows: 1- Market penetration strategy (explain and write recommendations) 2- Market development strategy (explain and write recommendations) 3- Product development strategy (explain and write recommendations) 4- Related diversification strategy (explain and write…