DecisionSupportSystems_Assignment_Fall09 - BUSMIS 1060...

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BUSMIS 1060 – I NTRODUCTION TO I NFORMATION S YSTEMS Decision Support Systems Assignment You are a manager working for a regional coffee shop chain. Your responsibilities include overseeing the stores in the Pittsburgh area. The VP of Development has asked you to provide her with an evaluation of a potential new location in Pittsburgh. You have access to a preliminary market research report. The report provides basic information about costs, prices, and demand for various products (see attachment A). Using this information, prepare a report that addresses the following questions: 1. Is the proposed location, as described, a profitable location? How much money would the company make or lose monthly? For this question, assume that the shop is open 24 hours per day. 2. What assumptions did you have to make in order to calculate the profitability? 3. Which of the three products is the least profitable? Can the profitability of the business be increased by not selling this product? If so, by how much each month? 4. Your calculations for question #1 assumed that the store was open 24 hours per day. Is this the most profitable set of operating hours or is there a better set? Why or why not? 5. What specific combination of products offered and operating hours would bring about the greatest profitability for the business? What would the monthly profit or loss be under this combination of operating hours and products offered? 6.
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This note was uploaded on 10/22/2009 for the course BUSMIS 1060 taught by Professor Robbins during the Fall '09 term at Pittsburgh.

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DecisionSupportSystems_Assignment_Fall09 - BUSMIS 1060...

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