Business in Action
Business in Action
9th Edition
ISBN: 9780135198100
Author: BOVEE
Publisher: PEARSON CO
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Chapter 16, Problem 3CTQ
Summary Introduction

Case summary: In certain enterprises and with some business models, growth prospective is firmly connected to some part of physical limit or HR. Organizations that rely upon physical limit like this can just develop in a direct manner, which can be moderate and costly. At the point when Person KJ and her husband Person J who was the cofounder, pondered subsidizing for their business, they realized they had computerized adaptability on their side. The framework does not require work or production limit past registering transmission capacity, which is effectively versatile nowadays because of distributed computing administrations. With a neglected market need and a versatile business model, Company CB was a prime contender for investment financing. The framework does not require work or production limit past figuring data transfer capacity, which is effectively versatile nowadays because of distributed computing services.

Characters in the case: Person KJ, Person J and Company CB.

To Discuss: The reasons on whether Person KJ’s start-up story be effective element to include Company CB’s marketing efforts.

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Students have asked these similar questions
Sam's Pet Hotel operates 51 weeks per year, 6 days per week, and uses a continuous review inventory system. It purchases kitty litter for $13.00 per bag. The following information is available about these bags: > Demand 70 bags/week > Order cost $58.00/order > Annual holding cost 30 percent of cost > Desired cycle-service level = 80 percent >Lead time 4 weeks (24 working days) > Standard deviation of weekly demand = 15 bags > Current on-hand inventory is 320 bags, with no open orders or backorders. a. Suppose that the weekly demand forecast of 70 bags is incorrect and actual demand averages only 45 bags per week. How much higher will total costs be, owing to the distorted EOQ caused by this forecast error? The costs will be $ higher owing to the error in EOQ. (Enter your response rounded to two decimal places.)
a. The average aggregate inventory value of the product if​ Ruby-Star used vendor 1 exclusively is ​$enter your response here. ​(Enter your response as a whole number.​) b. The aggregate inventory value of the product if​ Ruby-Star used vendor 2 exclusively is shown below. c. How would your analysis change if average weekly demand increased to 160 units per​ week? The aggregate inventory values are shown below.
a. What order quantity should be​ used? lures. ​(Enter your response rounded to the nearest whole​ number.) b. What reorder point should be used? ​(Enter your response rounded to the nearest whole​ number.) c. What is the total annual cost for this inventory system? (Enter your response rounded to two decimal places)
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