Questions
Confidential Role Information for GTechnica (Seller) You are the Vice President of Sales for GTechnica, a...

Confidential Role Information for GTechnica (Seller)


You are the Vice President of Sales for GTechnica, a Massachusetts‐based developer and
manufacturer of precision electronic components for use by computer and computer accessory
manufacturers in their products. Your research and development team recently completed work
on a new processor chip – the GT7 ‐‐ for consumer‐oriented graphics accelerator cards, and your
firm has now readied a production line at your Wisconsin manufacturing plant capable of mass
producing the chip.

Graphics accelerators are video adapter cards that one can plug into a PC (in an available
expansion slot on a PC’s motherboard) designed to boost a computer’s performance on multimedia
tasks such as games or scientific applications that are graphic intensive. These accelerator cards
typically include their own memory and their own specialized processor to handle the intensive
mathematical operations involved in graphics applications. An accelerator card enhances PC
performance by freeing up a computer’s main processor and memory for other operations, while
the graphics card handles the computational load associated with graphics. The demand for
graphics accelerator cards by the general consumer market has grown significantly in the last few
years as home and small business PC users have increasingly sought more and better processing
power to handle the snazzy graphics that software developers have been adding to productivity
applications as well as games.

Six months ago, when the GT7 was first announced in the trade press, GTechnica was
approached by a European firm called SysD, which is one of the leading makers of add‐in circuit
boards for PCs, including graphics accelerator cards. SysD was interested in using the GT7 for its
latest model accelerator card, and you were able to reach a deal to sell 15,000 units (GT7
processors) to SysD at a price of $37 per unit. At the time that deal was made, this was a good price
for GTechnica, for two reasons. First, you weren’t sure when the chip was announced that this new
and relatively untested processor could fetch much more than $30 until it had more of an installed
base in the marketplace. Second, your main competitor in this market is thought to be supplying
similar (but slightly less advanced) processors for an average unit price of about $28. But as it
turned out, SysD was unhappy with their existing primary supplier of processors, and anxious to
bring out a new accelerator card with enhanced capabilities, and they agreed to pay $37 per unit.
Unfortunately, three months after closing the deal, as you were completing development on
your production facility for the GT7 (before any units had yet been made or shipped), SysD
exercised an option in the contact to delay their purchase of the processors by one year. Now you
have about nine months of underused (unused, really) production capacity for making GT7s. If you
could find another accelerator card manufacturer interested in the GT7 and close a deal quickly,
there is time to produce and ship 15,000 units before you have to turn your production capacity
back over to making GT7s for the delayed SysD contract.

As luck would have it, while at a trade show a couple of weeks ago, you ran into an executive
with a graphics hardware firm in California called AccelMedia. AccelMedia, a relative newcomer to
the market, has been growing rapidly because of the sudden popularity of its graphics accelerator
products. The executive you spoke with at the trade show told you that AccelMedia has an urgent
need for approximately 15,000‐20,000 processors for their newest accelerator card (a model called
the AMPro 50). Figuring that this could be an excellent way to make use of the temporarily idle GT7
production capacity, you then contacted AccelMedia’s Director of Component Sourcing, who
confirmed that they are seeking a supply of processors, and that GTechnica’s GT7 would meet their
specifications. The two of you agreed to schedule a meeting to negotiate the possible sale of GT7
processors to AccelMedia.

Your goal in the upcoming negotiation is to get the highest possible price per unit for the
processors that you sell to AccelMedia. Your net unit cost for the GT7 is $16; anything above that
will represent a profit for GTechnica, and given the fact that the production line will sit idle if no
deal is made (there are no other potential customers on the horizon at this point), you should
probably be willing to accept any deal that exceeds unit cost. But your boss, the Executive Vice
President for Sales and Marketing, has made it clear that you will be judged by how much better
than this you can do.

Another issue is the volume of a contract: You have the capacity to make and ship as many
as 15,000 units, and you would like a deal that comes as close to that as possible. However, you
cannot make a deal for more than 15,000 units because the production line will have to be turned
over to the delayed SysD contract at that point, and there is no other possible production capacity
that can be shifted to making GT7s in the near future. Thus, the negotiation you are about to
conduct is really a one‐shot opportunity to do business with AccelMedia.

As you wait for the meeting with AccelMedia’s representative, you are thinking through the
approach you will take.

• What is the unit price you would like to receive for the GT7s? ____$37______
• What is the unit price you will initially present to AccelMedia? ___$30_______
• What is the lowest unit price you will accept for the GT7s? ____$22______

Question 5. Define your best Objective Criteria.

MARKET VALUE - What would others be willing to pay for the same thing?

PRECEDENT - What was the basis of previous agreements?

TRADITION - How have you done it in the past?

EXPERT/SCIENTIFIC JUDGMENT - Is there a well-developed body of knowledge?

EFFICIENCY - Is this the best way to do it?

COSTS AND PROFITS - Are there margins which must be met?

POLICY - Is there an internal or external set of rules that serve as a guide?

RECIPROCITY - Would the other party feel compelled to return the favor?

STATUS - Will you defer to someone's title or position?

PROFESSIONAL/INDUSTRY STANDARDS - Is there a 3rd party standard we can refer to?

In: Operations Management

Please use Brazil and New Zealand to create a table that compares two societal cultures on...

Please use Brazil and New Zealand to create a table that compares two societal cultures on the nine dimensions of culture identified by the GLOBE project. Depending on the countries you choose, you may need to do more research. Your table should have three columns, one with the nine dimensions, one with the first country, and one with the second country. Your table should include the scores and an explanation of what the scores mean.

Following is an example of comparing one dimension between Germany and China:

Dimension

Germany

China

Assertiveness

  • GLOBE scores: West 4.55 & East 4.73
  • Highest 25% GLOBE study
  • Work relationships are to the point and strict
  • GLOBE score: 3.76
  • Moderate range score
  • Indirect approach to communication

In: Operations Management

what is market segmentation? and what are the different types of segmentation? also provide real world...

what is market segmentation? and what are the different types of segmentation? also provide real world examples. Thank you

In: Operations Management

True/False ___ In the MTS environment the inventory that defines the customer service is the inventory...

True/False

  1. ___ In the MTS environment the inventory that defines the customer service is the inventory of components.
  2. ____ The objective of moving-average is to smooth out the random fluctuations while being sensitive to any possible changes that may be taking place with the underlying average.
  3. ____ Often the most recent history is the most relevant in forecasting short-term demand.
  4. ____ The mean error (ME) is concerned with the error magnitude.
  5. ____ The mean absolute deviation (MAD) is used to measure bias.

In: Operations Management

Compare and contrast the procurement methods used in humanitarian organizations with those of Governments?

Compare and contrast the procurement methods used in humanitarian organizations with those of Governments?

In: Operations Management

what is inspection, walkthrough and Desk checking testing my course is analysis and design and it's...

what is inspection, walkthrough and Desk checking testing

my course is analysis and design and it's not shows in the subject so i choose operation management just to complete the process !!!

In: Operations Management

how would you select a sample and research a sensitive topic like auditor independence and intearity?

how would you select a sample and research a sensitive topic like auditor independence and intearity?

In: Operations Management

Motivation is different for each of us. Leaders struggle to keep individuals motivated. Research indicates that...

Motivation is different for each of us. Leaders struggle to keep individuals motivated. Research indicates that a motivated individual is a more productive worker. Additionally, keeping an individual motivated can be challenging. For this unit’s journal entry, share a list of the top five things that motivate you, and explain how a leader could use these motivators to help you advance in your career.

In: Operations Management

Assignment: Belows are the six values that have been suggested as being desirable for codes of...

Assignment:

Belows are the six values that have been suggested as being desirable for codes of ethics.

  1. trustworthiness
  2. respect
  3. responsibility
  4. fairness
  5. caring
  6. citizenship

If you were a part of the leadership team of a 100+ employee firm, how would you ensure each of these values is present in your company's code of ethics?

In: Operations Management

Identify a situation in your current job or a previous one in which a sales message...

Identify a situation in your current job or a previous one in which a sales message is or was needed. Using suggestions from this chapter, write an appropriate sales message that promotes a product or service. Use actual names, information, and examples. If you have no work experience, imagine a business you would like to start, such as data processing, pet grooming, car detailing, cleaning, tutoring, specialty knitting, balloon decorating, delivery service, child or elder care, gardening, or lawn care.

Your Task. Write a sales letter or an e-mail marketing message selling your product or service to be distributed to your prospective customers. Be sure to tell them how to respond. You don’t need to know HTML or have a Constant Contact account to craft a concise and eye-catching online sales message. Try designing it in Microsoft Word and saving it as a Web page (go to the File tab and select Save as; then in the Save as type line, select Web page). Consider adding graphics or photos—either your own or samples borrowed from the Internet. As long as you use them for this assignment and don’t publish them online, you are not violating copyright laws.

In: Operations Management

What immediate changes, if any, has Uber company made to its basic business model right now,...

What immediate changes, if any, has Uber company made to its basic business model right now, during the crisis of the Coronavirus. How are riders/customers being served during this crisis period ? Is Uber able to retain employees? What changes have been implemented for Uber company to continue to offer goods and services that's are a part of its brand? Or has there been an adjustment in goods and services offered?

In: Operations Management

Compensation is the total of an employee’s pay and benefits. It is a major reason for...

Compensation is the total of an employee’s pay and benefits. It is a major reason for job satisfaction and affects attracting and retaining employees. Compensation costs are frequently the largest part of total production costs at today’s firms. Because this is the case, companies must have a strategic plan for managing employee compensations

Using compensation, incentive, and benefits, answer the following questions to decide on the specific aspects of your employee compensation system:

  1. When, how, and why do these employees receive salary/pay increases?
  2. What type of compensation do you offer to the 10 employees? Of the four basic components to compensation—base pay, wage add-ons, incentives, and benefits, how is the fund available to pay these 10 employees divided between each of the components? Why?

In: Operations Management

Is capitalism sustainable? Does business need to change the way it is presently conducted to be...

Is capitalism sustainable? Does business need to change the way it is presently conducted to be sustainable and competitive in the future? The above questions are your research topics for this week’s assignment. These are questions that many academics, economists, and policymakers in the United States ask themselves based upon the facts. This week you are asked to fact find (data) and consider how changes in the utilization of resources used by businesses are going to be factored going forward in the coming years. For example, how will humans and businesses deal with the end or near the end of specific resources (i.e. oil, iron, seafood, etcetera)? Keep in mind, as you learned in economics, that all resources are limited. Thus, based on current consumption rates they will run out. Also, within this equation, one must consider the environment and the questions of social responsibility to those who do not have access to such resources but are affected by the current capitalist society. In addition, clean water and air are a necessity for all forms of life. How does one protect these precious resources and continue to strive toward meeting profit objectives each fiscal quarter? Is capitalism as we know it at the end of its life cycle? While this is not an easy assignment or one where there are correct answers, there are answers and they should/must be based on good data and logic. In this assignment, you are asked to conduct your research and report the data while making an argument as it pertains to the original question. Is capitalism sustainable?

In: Operations Management

Business has been good for Keystone Control Systems, as indicated by the eleven-year growth in earnings...

Business has been good for Keystone Control Systems, as indicated by the eleven-year growth in earnings per share. The earnings have grown from $1.00 to $2.58.

Determine the compound annual rate of growth in earnings (n = 11)

Based on the growth rate determined in part a, project earnings for next year (E1).

Assume the dividend payout ratio is 35 percent. Compute D1

The current price of the stock is $21. Using the growth rate (g) from part a and (D1) from part c, compute Ke.

If the flotation cost is $3.00, compute the cost of new common stock (Kn) using growth rate (g) from part a and dividend (D1) from part c.

In: Operations Management

What if a company chooses NOT to align with the dominant design that emerges in the...

What if a company chooses NOT to align with the dominant design that emerges in the latter stages of the life cycle—but instead chooses to continue to pursue a form of differentiation in a niche segment of the market?

In: Operations Management