A computer manufacturer plans to enter new markets in three African countriesSenegal, Ghana, and Ethiopia. The company
Question:
A computer manufacturer plans to enter new markets in three African countries—Senegal, Ghana, and Ethiopia. The company has two manufacturing facilities in China and Vietnam that can be used to supply to the new markets. Because of logistics issues and travel routes, computers will be shipped to two distribution centers in Egypt and the UAE and then shipped to the three countries.
The transportation cost per computer in dollars from the manufacturing facilities to the distribution centers and from the distribution centers to the different countries, the supply of the manufacturing facilities, and the demand of the different markets are summarized in the following tables:
To Distribution Center (cost, in $)
From Facility 3. Egypt 4.
UAE Supply (thousands of computers) 1. China 24 31 100 2.
Vietnam 30 25 50 To Country (cost, in $)
From Distribution Center 5. Senegal 6. Ghana 7. Ethiopia 3. Egypt 12 9 12 4. UAE 10 12 10 Demand (in thousands of computers) 50 30 70 Determine the optimal shipment patterns from the manufacturing facilities to the distribution centers, and from the distribution centers to the three different countries that will minimize the transportation cost.
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