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A catering business has around 60% regular corporate clients and 40% casual clients that order on an ad-hoc basis. The manager has been approached by

A catering business has around 60% regular corporate clients and 40% casual clients that order on an ad-hoc basis. The manager has been approached by a hotel to provide meals for six months while the hotel undergoes a kitchen renovation. The hotel would only pay 70% of the current retail rate that the catering business charges at present. Identify some issues that need to be considered before a decision is made to accept this special arrangement

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