Question: can you please explain step by step?? Lavazza distributes coffee in three supply chain channels (i = 1, 2 and 3). For each channel the
can you please explain step by step??
Lavazza distributes coffee in three supply chain channels (i = 1, 2 and 3). For each channel
the demand-price relationship is linearly defined by the constants A1, A2 and
A3 and slope coefficients B1, B2, and B3. The coffee production cost is $33. There are no supply constraints. Calculate the optimal price and demand
quantity for each channel, and then the profits.
a.For Channel-1, A1=2500 and
B1=16, what is the channel-1 profit?
b. Continuing the Lavazza coffee question. For Channel-2, A2=2000 and
B2=20, what is the Channel-2 profit?
c. Continuing the Lavazza coffee question. For Channel-3, A3=2400 and
B3=40 , what is the Channel-3 profit?
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