Week Two Mini Case
1Q) The no of units of each style that wally should make during the initial phase of production so that all the styles are made in Hong Kong so that the Wally’s initial production must comprise of 10000 units is 629,600,863,1845,600,1343,600,2904,1202,9900. Since the time-based compensation of Hong Kong is more compared to china I would recommend that the organization ought to create the base conceivable units of every style so that the base prerequisite is met.
2Q) If there arises a demand forecasting uncertainty then there would be stock outs that is -24 percent of whole sale price and market downs that is -8 percent of wholesale price, there would be high inventory holding cost and would be unable to fully profit
1Q) The no of units of each style that wally should make during the initial phase of production so that all the styles are made in Hong Kong so that the Wally’s initial production must comprise of 10000 units is 629,600,863,1845,600,1343,600,2904,1202,9900. Since the time-based compensation of Hong Kong is more compared to china I would recommend that the organization ought to create the base conceivable units of every style so that the base prerequisite is met.
2Q) If there arises a demand forecasting uncertainty then there would be stock outs that is -24 percent of whole sale price and market downs that is -8 percent of wholesale price, there would be high inventory holding cost and would be unable to fully profit