• Read the case study and then follow the Marking Template to write your report in the space below. If you run out of space, you can go to Question 2 and continue writing. If you don't run out of space, you don't need to use Question 2. In February 2016, Don Roberts, director of Clairtone Inc, a small Hamilton, Ontario manufacturer and retailer of high quality headphones and headsets, had just met with a purchasing agent from 2001 Audio, a major Canadian electronics retailer. The agent had approached Roberts regarding the possibility of carrying a line of Clairtone headphones, which involved a potential order of over three times the number of headphones currently being manufactured each year However, during the meeting it became apparent that 2001 Audio had expected a price much lower than Clairtone was prepared to offer. Don was wondering if it would be possible to agree upon a price, and if so, was it in the best inforests of his company to supply headphones to a large retailer such as 2001 Audio. As he left the meeting at the retailer's office, Don was aware that he would have to contact the purchasing agent within a few weeks. COMPANY BACKGROUND Clairtone was started in 1990 by Frank Roberts, Don's father. Frank, an experienced sound. engineer and electronics tinkerer, decided to specialize in the area of headphones for people with poor hearing (especially at the higher end of the sonic range of 16,000hz to 20.000hz), a market that had not been fully developed. Typically, as people age they become less able to distinguish