Supply Chain Management Assignment Essay Example | Topics and Well Written Essays - 1000 words

Supply Chain Management Assignment - Essay Example 277, 303 units divided by the number of months. The ordering cost of producing each printer incurred by the company is stated to be $250. Based on the above data the carrying cost of each of the several units is assumed to be around $21. Moreover the lead time required to dispatch the products from the Vancouver centre to the European Distribution Centers is observed to be 35 days. Given the above conditions the economic order quantity that ought to be produced by the firm can be calculated as: Square Root of (2 * Average Demand* Cost of Order/ Cost of Carrying) or it arrives to under Square Root of (2* 23109* 250/21). Herein the Economic Order Quantity based on the above model turns out to be 742 units approx. The cost of production of each unit by the company is observed to be given as $250. Thus the yearly investment based on the economic quantity calculated comes to around $250 * 742 units i.e. $185,500 on an average. A.2. The calculation of economic order quantity would help the company in reducing the cost pertaining to the production of DeskJet printers through the management of the flow of raw materials. The calculation of economic order quantity would also help the management in reducing the level of distribution costs of the printer gadgets from Vancouver to the European Distribution Centers. ... Less amount of working capital would be expended or locked for the above reason and thus would help the company gain more profits. Further the problems relating to effective stock management in regards to the delivery of the same from the Vancouver center to the European distribution houses can be effectively managed in which the issues relating to piling up or shortage of stock in some quarters can be effectively addressed. Thus by depending on the above model of economic order quantity the company can both manage the level of inventory flow from Vancouver to the European distribution houses and also the cost factor related to such (Chase et. al, 684). A.3. The Company focuses on making the DeskJet printers more customized through the modification conducted in the technical aspects of the products to help intake lesser voltage. This process of customization is conducted in the several European distribution centers where separate installations are made inside the printer to help the local population gain advantage from spending less power on such products. The cost of power being saved would help to enhance the demand for the same in the local markets and thus would also help the company to gain large amount of business profits. Moreover the factor of consumer loyalty would also be enhanced based on the above reason wherein the consumers would aptly feel cared by the company in helping them reduce the costs related to power usage. Again Hewlett Packard also helps to enhance the process of customization or localization through the rendering of manuals pertaining to the use of the gadgets inside the packaging boxes. These manuals would be written specifically in local languages which would help the local people

Consumer behaviour Assignment Example | Topics and Well Written Essays - 1250 words

Consumer behaviour - Assignment Example True to John’s case, he had a need for replacing the television he had lost due to burglary. He got an insurance compensation, and this; therefore, put him at the point of need to find another television set. Mr John explains that he could not imagine staying any longer in that state of boredom without getting a TV set, and this prompted him to think of how to capture one. Need recognition entails identifying the need, which he or she has to satisfy. This marks the beginning of the buying process. Notably, the identification of the need is the foundation of the buying process, since the customer has to satisfy an existing need. In this case, the desire to watch movies or TV programs was the process of the need recognition that led to the identification of T.V as the only thing that would satisfy the need to watch movies and programs and reduce boredom. Notably, need recognition is the most significant stage of the buying process because without a need there is no purchase. The second step involves the search for relevant information on the product identified that can satisfy the need. In this case, the customer looks around to identify the best product that would satisfy the need (Singh, 2007). Notably, the customer seeks for the best product in the market that would solve their problem. In this case, the search for relevant information would involve a search for information on TV sets from distinct manufacturers in the market. Most customers search for information through friends, relatives, adverts, the internet and catalogs and other booklets (Armstrong, 2009). In his response on whether he searched for various products before settling on Sony T.V, he acknowledged that he browsed the internet in search of different models and brands. He gave the reason for this as the fact that he did not want to buy the same model he had lost to burglary since its spare parts were not readily available at the local electronic shops.