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ON STRATEGIC CAPACITY PLANNING Submitted to Submitted By‚ Prof. J.P.RATH Md Sarfaraz Khan 15320 WHAT IS CAPACITY PLANNING? Capacity can be defined as the ability to hold‚ receive‚ store‚ or accommodate; a measure of an organization’s ability to provide customers with the demanded services or goods in the amount requested and in a timely manner. Capacity planning is the process of determining the production capacity needed by an organization
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When a firm changes prices‚ the effect on profits is more important than the effect on revenue. There is a simple formula to calculate the critical Price Elasticity of demand which is just sufficient to maintain the contribution to overheads and profits. This will be greater than that required to maintain revenue. A common issue in business and in business studies is whether a firm should change the prices at which products are offered. The calculations begin with estimates of the reaction of
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Pricing Pricing is the process of determining what a company will receive in exchange for its products. Pricing factors are manufacturing cost‚ market place‚ competition‚ market condition‚ and quality of product. Pricing is also a key variable in microeconomic price allocation theory. Pricing is a fundamental aspect of financial modeling and is one of the four Ps of the marketing mix. The other three aspects are product‚ promotion‚ and place. Price is the only revenue generating element amongst
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Determine price for each of the product of your choice based on the pricing strategies you have learnt. There are two type of new product pricing strategies which is skim pricing and penetrate pricing. Skim pricing A product pricing strategy by which a firm charges the highest initial price that customers will pay. As the demand of the first customers is satisfied‚ the firm lowers the price to attract another‚ more price-sensitive segment. * Used when * Demand for the product is
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QUESTION 1 Mary wet shopping at Maidon Bhd and was attracted to a VCD ‘Chalte Chalte’ displayed on the shelves. Mary looked at the price tag of the VCD and saw that it cost RM15. Mary went to the cashier’s counter to pay for the VCD. The cashier informs her that the actual price of the item was RM45‚ not RM15. Mary instead that Maidon Bhd had to sell the VCD to her at RM15 as there was a contract between them. Advise both parties. Answer: Issue 1) Whether there is contract between Mary and Maidon
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Chapter 4. Costs and Cost Minimization Problem Set 1. Suppose the production of airframes is characterized by a CES production function: Q = (L½ + K½)2. The marginal products for this production function are MPL = (L½ + K½)L−½ and MPK = (L½+ K½)K−½. Suppose that the price of labor is $10 per unit and the price of capital is $1 per unit. Find the cost-minimizing combination of labor and capital for an airframe manufacturer that wants to produce 121‚000 airframes. The tangency condition
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Business Law 110 Capacity and Legality Question and Problems 1. In the United States the idea of an “age of majority” for granted; the only question is whether it should be 18‚ 19‚ or 21. Though in Great Britain there is no age at which a young person acquires the legal capacity to enter into a contract. British courts will not enforce contracts with immature minors. However‚ they make the decision of whether a person is too immature to enter into contract on a case-by-case basis. If the courts
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719 How Should a Husband Treat His Wife? Phil Sanders God’s Answers to Life’s Questions Some people think because the husband is the head of the wife‚ which means he has a right to be the boss and keep her in line. Well the Scriptures teach that the husband is the head of his wife‚ but there is more to be said. Stay with us as we explore this important Bible teaching. Today we’re asking the question‚ “How should a husband treat his wife?” Marriage is one of the great gifts God has given to man
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Chapter 12: Capacity Planning Question #1: Why are facilities decisions often made by top management? What is the role in these decisions of operations‚ marketing‚ finance‚ accounting‚ engineering‚ and human resources? “Facilities decisions often made up by the top management and the chief executive‚ and the board of directors because these decisions are strategic in nature‚ they require the input of all functional areas in the firm.” It is longest-term planning decision that contains all the important
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