Question: QUESTION 2 ( 1 2 Marks ) 2 . 1 To renew the service level agreement with X , Y , and Z , ABC

QUESTION 2(12 Marks)2.1 To renew the service level agreement with X, Y, and Z, ABC Manufacturing Limited plans to propose the integration of servitisation into its business model. This would involve transitioning from supplying only physical products (brake pads) to offering a range of comprehensive value-added services aimed at enhancing customer experience and satisfaction. Critically assess how servitisation could be effectively implemented and discuss the potential outcomes for the company. (7 marks)2.2 To implement the servitisation plan, ABC Manufacturing Limited would need to establish an additional facility at one of its existing locationsFacility 1, Facility 2, or Facility 3that will provide maintenance services, product performance monitoring, extended warranties, and tailored support packages for all the automobile brands. The variable and fixed costs associated with the new facility are anticipated to align with the Q42024 cost structure of the existing facilities. Discuss

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