The U.S. Postal Service (USPS) operates at a loss but its closest competitors – UPS and FedEx – both operate at a profit. Suggest how fixed costs have contributed to the situation of the USPS. Provide support for your response.
You are the owner of a manufacturer of widgets. You experience additional demand for the product that you don’t want to ignore. Propose three methods to take advantage of the demand using your existing facility while minimizing costs. Analyze the advantages and disadvantages of each method. Provide support for your response.