Stark Industrial Machinery (near Charleston, South Carolina)…

Stark Industrial Machinery (near Charleston, South Carolina) and Lannister Equipment (located near Las Vegas, Nevada) both sell generators to industrial machine shops.  While customers exist throughout the 3000 miles (roughly) between the two firms, most customers may be found around the Mississippi river.  Stark’s production costs are $800 per unit, with transportation costs of $70 per unit per mile.  Lannister’s production and transportation costs, respectively, are $820 per unit, and $65 per unit per mile.   What is Lannister’s extent of market? (round x up to the nearest mile).

Your Marketing Information System provides you with the foll…

Your Marketing Information System provides you with the following information regarding customers who have experienced problems.  You may assume that (1) no customer experienced more than one of these problems, (2) the problems listed are the only problems suffered by your customers, and (3) you currently have 20,000 customers. Customers-At-Risk Problems # Suffering Will NOT Repurchase Might not Repurchase Overcharged customer 2000 0.25 0.35 Missed delivery dates 1500 0.35 0.50 Did not repair products the first time 1100 0.40 0.70 Failed quality inspection 750 0.60 0.80 Using the customer-at-risk approach, if your key concern is the problem that will definitely cost you the most customers at a minimum, which problem would you be best advised to correct first?