Question
Darren: Summer is almost over. Guess we should start thinking about the upcoming year. Steve: Im way ahead of you. I think we should introduce
Darren: Summer is almost over. Guess we should start thinking about the upcoming year.
Steve: Im way ahead of you. I think we should introduce protein smoothies and veggie drinks to our menu items. Over the past few weeks, Ive been experimenting with 5 different styles. To me, they all taste great. Some have lots of fruit. Some have lots of vegetables. Delicious!!! I think I have even lost 5 kilograms. Feeling good.
Darren: Im really worried about adding 5 new beverage options. I think well be overloading our menu boards.
Requirement
Based on the budgeted data below, help Steve and Darren select 3 beverages (out of 5) that will allow them to benefit the most if they consider their most important constrained resource, labour time.
Data | Monster Peach | Super Veg | Crazy Strawberry | Greenie Kale | Strong Spinach |
Selling price | 6.00 | 9.00 | 7.00 | 8.00 | 9.00 |
Variable Cost | 1.32 | 3.22 | 1.30 | 3.12 | 3.10 |
Labour time: | |||||
Minutes | 4.17 | 7.64 | 4.12 | 4.53 | 4.42 |
Make sure you consider, within your analysis (one to two pages, single spaced report), the following:
- Time is money. Consumers will eat elsewhere if the line is long or moves too slow.
- Consumers look for specialty items when they select their places to eat.
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