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Ron's been buried in sales agents' meetings and dialog with some US regional managers for three straight days and it seems they have the opportunity

Ron's been buried in sales agents' meetings and dialog with some US regional managers for three straight days and it seems they have the opportunity to buy a new bottling plant that could significantly decrease their cost of production for drinks. He arrives in your office for your weekly meeting and proudly says "After all is said and done buying this bottling plant makes good sense - It will cost less than the one we bought last year."

Why is the rationale for the decision not necessarily an appropriate one? What else needs to be considered? (8 marks)

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