Big Time Toymaker and Chou engaged in a contract under the notion of mutual assent because they reached an agreement which utilized a combination of offer and acceptance (MELVIN, 2011). Since Big Time Toymaker, the offeror, made a valid offer to Chou, the offeree who accepted the offer of $25,000
According to this unique strategy the company is considering the option of arranging a nationwide competition through FightWare, which will cost them about $25,000. This competition is likely to generate the buzz and excitement surrounding the software, which is already in the market and being used on the basis of monthly subscriptions. Thus the main decision with the company is whether to outsource the competition or to arrange it in-house with the help of networking partners. Alternatives: Basically there are three alternatives in front of the company. Firstly they can simply outsource the competition to FightWare and pay them the sum of $25,000.
Rochelle decided to compare two plants for 50 days, Memphis plant-which will have the vector drive and Birmingham plant-which will use the existing system and prepare a report. The financial analysts believe that the purchase can be justified if the equipment leads to the average increase in production of atleast 10,000 bricks per day. Since we have to check whether the difference between the mean value of the bricks per day at Memphis plant and Birmingham plant is greater than 10000(for purchase to be justified), we will use hypothesis testing for means and compare the sampling distribution of the mean value of bricks produced in a day. This method is the typical method to solve these kind of problems. Data available is Plant Total Bricks produced in 50 days S (standard deviation) x̄ (mean) Memphis 7484500 3402.46 149690 Birmingham 6902350 3364.68 138047 Hypothesis test In a hypothesis test we assume Ho to be true and try to find evidence that shows otherwise.
In addition, Suburban was now asking that Mr. Clarkson guarantee the loan personally. Keith Clarkson, sole owner and president of the Clarkson Lumber Company, was therefore actively looking elsewhere for a new banking relationship where he would be able to negotiate a larger loan that did not require a personal guarantee. Mr. Clarkson had recently been introduced by a friend to George Dodge, an officer of a much larger bank, the Northrup National Bank. The two men had tentatively discussed the possibility that the Northrup bank might extend a line of credit to Clarkson Lumber up to a maximum amount of $750,000. Mr. Clarkson thought that a loan of this size would improve profitability by allowing him to take full advantage of trade discounts.
They would make semiannual payments of $12.303 million and can sell the equipment at the end of its 25-year useful life at $40.185 million. If Acela’s revenue expectations are not met and Amtrak remains unprofitable, the present value of the cost of this option would be 260.26 million. Assuming profitable, the present value of the costs would become approximately $164.77 million due to the benefit of the tax shield. Also, Amtrak is considering an 80% debt to 20% equity leveraged-lease structure to finance the locomotives and train sets. They would make semiannual payments and has the option to buy the equipment from the equity investor, BNY Capital
Maria do Carmo Marketing 3301 Clark Thomas 10/26/2010 Crest White Strips Case Summary According to the book, the white strips market was developed thanks to the hard work of marketing research firms. Through very thorough research they came to the conclusion that there was a market for teeth whitening products. They found that regular people just like celebrities wanted to have pearly white teeth and where willing to pay up to fifty dollars. The fifty dollars was essential because it would cover development and introductory promotion costs. After reviewing all the information Crest became the first major company to test the market.
Palladium Door, Inc. 11/02/11 Problem Identification and Justification * The major problem Palladium Door, Inc. faces is whether their current distribution approach would allow them to reach their corporate sales goal of $12.5 million in 2004. In addition, are Palladium Door’s current dealerships capable of reaching this sales goal with the current distribution strategy? * This goal of $12.5 million in sales was driven primarily by suppliers, in respects to the raw materials needed to make the steel doors. It was agreed upon by company executives that more sales were needed in order to keep a stable buying position with these suppliers. In addition, it was also agreed upon that Palladium doors needed to increase the amount spent on promotions and advertising to achieve the sales goal.
They began to investigate the marketing program for the new product, and recognized that there were not only valuable possibilities, but also problems they would have to solve before launching the product. Objectives: To improve the gross margins of Chipman union to above 20% by introducing branded socks, for this introduction they have planned a market research. Situation Analysis The Hosiery Industry In 1979 the hosiery shipments totaled 289 million dozen pairs of which 25% were men’s socks. In the men’ socks dress contributed 34.9 % of sales and casual contributed 21.9% of sales. The revenue split was in similar ratio as of sales across different types of hosiery .Per capita consumption of men’s socks was stable at around 10 pairs annually.
Child World had put itself at risk of having to honor nearly $300,000 in discounts (Shapiro, New York Times, 1991, page 1, paragraph 7). Toys “R” Us made the decision to purchase from Child World instead of from its normal suppliers which is its choice isn’t it? Is this not their given right? They should be able to decide who they buy from in the same way that we are able to make that decision. There should not be an issue with them attempting to find the best deal to make the most profit.