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Essay / Research Paper Abstract
This 5 page paper looks at a simulation supplied by the student. The student enters time warp 2 and uses the plan for the four year period developed in SLP 3. The results of this are examined an a new strategy presented for time warp 3. The bibliography cites 7 sources.
Page Count:
5 pages (~225 words per page)
File: TS65_TECTCSPL4.doc
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Unformatted sample text from the term paper:
was planned and then look for ways in which it may be improved. Time Warp 2 Results In time warp 2 the CVP it was determined that in
2012 that all research and development should be discontinued to the X5, and the price decreased to increase sales. The R&D budget is relocated to the X6 and as consumers
here are not p[rice sensitive, the price may be increased slightly to help with potential looses on the X7. The X7 made a significant loss, as the sales did not
cover the overhead, to increase sales a price drop was recommended. Implement these decisions, with the X5 priced at $210 and zero R&D budget, the X6 with 67% of the
R&D budget and priced at $440 and the X7 priced at $80 with R&D budget of 33% gave a result of 456,358,852. The X5 saw an increase in profitability, increasing
from 16% in 2011 to 22% in 2012, the X 6 also saw an increase profitability increased for 16% to 27%. The X7 remained a loss maker, with a 12%
loss. The plan for 2013 was still the discontinuation of the X5, as 2013 had shown a sharp decrease in the sales of the product. The decision was to
retain the 2012 prices for the X6 and the X7 but with a slight shift in the R&D budget to split it between the two products. This gives a result
of 1,003,344,363, the profitability of both products has increased; the X6 to 34% and the X7 to 22%. The same strategy was advocated for 2014 which resulted in a profit
of 1,584,279,720. There was a proposed change for 2015. The research budget was to be moved entirely to the X7, and the price increased slightly to 100, while the
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