1.WarsingWare produces specialized shipping containers for food products. The shipping containers help protect the food and keep...
Question:
1.WarsingWare produces specialized shipping containers for food products. The shipping containers help protect the food and keep it from spoiling. In addition, the shipping containers have security devices to ensure that the food is not tampered with. WarsingWare is not the fastest or the cheapest; however, the company prides itself on its ability to provide a wide range of styles to its customers, its strong conformance quality, and its ability to ship products on time. Washing Ware management has rated the firm's performance as shown below: (The performance dimension range from (1= poor to 5=excellent).
| DIMENSION | PERFORMANCE | SONCO | GREGG |
| Performance | 4 | 4 | 1 |
| Conformance | 5 | 5 | 4 |
| Delivery speed | 2 | 1 | 5 |
| Delivery speed | 4 | 4 | 3 |
| Mix flexibility | 5 | 3 | 2 |
| Cost | 2 | 4 | 4 |
| Volume flexibility | 3 | 4 | 1 |
a. According to the value index calculations in the table above, which customer will currently get more value out of Warsing Ware's products and explain why?
b.Suppose WasingWare decides to reduce its cost by offering fewer design variations by increasing cost performance to 4, while reducing mix flexibility to 2.
b-1. What will happen to the new value indexes for both SONCO and GREGG? (CLUE!!!The decision is based on your new value index.)(6points)
1. Will the customers be more satisfied?
NOTE: Make sure you calculate and create tables to show the value indices for the two customers before making or explaining your finding.
Expert Answer:
WarsingWare Customer Value Analysis a Current Value Index and Customer Satisfaction To determine which customer gets more value well calculate a Value ... View the full answer
