Question
Regarding the case Bergerac systems: The challenge of backwards integration, answer the 3 questions: Question 1. Utilizing the information in the readings throughout the course,
Regarding the case Bergerac systems: The challenge of backwards integration, answer the 3 questions:
Question 1. Utilizing the information in the readings throughout the course, why would you NOT support Bob McCarthys recommendation to build a cartridge manufacturing plant within Bergeracs existing plant? Explain your rationale! Again, you MUST NOT support Bob Murphy. No other approach is allowed!
Question 2. Please list what you think is the single (one) most important problematic item in his analysis. Explain in detail why that item is the most important and use a brief mathematical underpinning (if possible) to show how it might change McCarthys financial results from Exhibit 4 of the case. For example, might it have an impact on Working Capital, some other inventory item, etc.? Again, this is just an example; you can utilize any item you wish.
Question 3. Based upon the frameworks given in your readings in Module 6, pick one and explain how the idea of risk might impact the decision to build the plant in house. In your actual answer refer to the article you are utilizingplease do not just say see the citation page or it is shown there. Make that reference part of your answer.
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