RM Company is one of 10 largest power-boat manufacturers in US Country. They achieve their mission of providing luxury boats to worldwide customers through their approach of differentiation. The sales increase in the states indicates that the strategy is working. RM Company is involved in continuous innovation with the help of computer-aided designing, high quality molds and their constant monitoring for quality. RM Company also closely interacts with their suppliers to ensure that the supplier parts are also of good quality. Their product line is 22 boats ranging from 19 feet to 44 feet-long boats. TK Person, the VP of the company says “We build boats” but we are in the ‘fun’ business. He states that the competition is not limited to the other 300 competitors but also other family entertainment like home theaters, internet, and so forth. RM Company has also joined the American Boat Builders association. They are able to sustain their position in the market with the economies of scope approach in procurement.

Question

Want to see the full answer?

Answer 1

Question

Chapter 2, Problem 1.4VC

Summary Introduction

Case summary:

RM Company is one of 10 largest power-boat manufacturers in US Country. They achieve their mission of providing luxury boats to worldwide customers through their approach of differentiation. The sales increase in the states indicates that the strategy is working.

RM Company is involved in continuous innovation with the help of computer-aided designing, high quality molds and their constant monitoring for quality. RM Company also closely interacts with their suppliers to ensure that the supplier parts are also of good quality.

Their product line is 22 boats ranging from 19 feet to 44 feet-long boats. TK Person, the VP of the company says “We build boats” but we are in the ‘fun’ business. He states that the competition is not limited to the other 300 competitors but also other family entertainment like home theaters, internet, and so forth.

RM Company has also joined the American Boat Builders association. They are able to sustain their position in the market with the economies of scope approach in procurement.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

A new integrated computer system is to be installed worldwide for a major corporation. Bids on this project are being solicited, and the contract will be awarded to one of the bidders. As a part of the proposal for this project, bidders must specify how long the project will take. There will be a significant penalty for finishing late. One potential contractor determines that the average time to complete a project of this type is 40 weeks with a standard deviation of 5 weeks. The time required to complete this project is assumed to be normally distributed. a. If the due date of this project is set at 40 weeks, what is the probability that the contractor will have to pay a penalty (i.e., the project will not be finished on schedule)? b. If the due date of this project is set at 43 weeks, what is the probability that the contractor will have to pay a penalty (i.e., the project will not be finished on schedule)c. If the bidder wishes to set the due date in the proposal so that there is…

assume that you are police commander which leads and supervises the department’s internal affairs division. Your goal is to reduce civilian complainants against personnel in the department. Using what you have learned and at least three scholarly sources, document two changes you see the department can implement, whether it be training, planning, mitigating, and resolving, to improve police/community relations.

Ness Engineering is a private limited company mainly engaged in the continuous production and assembly of domestic products. The annual turnover is $900,000,000. The largest area of expenditure is raw materials and components where the annual spend is approximately $450,000,000. The Managing Director, Bill, considers that profit margins are too small and has asked you to suggest how profitability might be increased. Bill suggests that this might be done by appointing additional sales staff and by an advertising campaign, which would, hopefully, increase turnover and thereby reduce overhead cost per item. You find that purchasing is little more than a post-office function. Specifications are received from the design or user departments and sent either to supplies designated by the directors or to the supplier providing the cheapest quotation. The company does, in fact, deal with many suppliers and issues many orders for low-cost items. All purchasing is done by manual means. None of the…