Assume that if the product requested is not in stock, it needs to be manufactured before the order handling can continue. In this way, an order can never be rejected. To manufacture a product, the required raw materials have to be ordered. Two preferred suppliers provide dierent types of raw material. Depending on the prod- uct to be manufactured, raw materials may be ordered from either Supplier 1 or Supplier 2, or from both. Once the raw materials are available, the product can be manufactured and the order can be conrmed. On the other hand, if the product is in stock, it is retrieved from the warehouse before conrming the order. Then the process continues normally. After conrming the order, the shipment address is received and the requested product is shipped while the invoice is emitted and the payment is received. Afterwards, the order is archived and the process completes. 2 With respect to the above process, use the following report format and provide necessary discussion under each section: 1. Descriptions of System - Describe the system - (If any) Explain any problem(s) in the system (e.g. causes of the problem and its (potential) eects 2. Simulation Objective(s) - State the objective(s) of carrying out your simulation project 3. Experimental Factors & Responses - Discuss the potential experimental factors of your simulation study. - Discuss the potential responses and explain how they should be presented. 4. Model Contents & Level of Details - Show which of systems components will be included/excluded in your simu- lation model and explain why they should be included/excluded. - Describe the appropriate level of details for the included components. 5. Models Process Map - Diagrammatically represent your conceptual model in a form of a process map - Make sure that the constructed process map is representative to the model contents and level of details. 6. Assumptions & Simplications - State all assumptions are made to abstract the system in the conceptual model. - Describe any simplications are made during the abstraction process.

Assume that if the product requested is not in stock, it needs to be manufactured
before the order handling can continue. In this way, an order can never be rejected.
To manufacture a product, the required raw materials have to be ordered. Two
preferred suppliers provide different types of raw material. Depending on the prod-
uct to be manufactured, raw materials may be ordered from either Supplier 1 or
Supplier 2, or from both. Once the raw materials are available, the product can be
manufactured and the order can be confirmed. On the other hand, if the product
is in stock, it is retrieved from the warehouse before confirming the order. Then
the process continues normally. After confirming the order, the shipment address is
received and the requested product is shipped while the invoice is emitted and the
payment is received. Afterwards, the order is archived and the process completes.

3. Experimental Factors & Responses
- Discuss the potential experimental factors of your simulation study.
- Discuss the potential responses and explain how they should be presented.
4. Models Process Map
- Diagrammatically represent your conceptual model in a form of a process
map
- Make sure that the constructed process map is representative to the model
contents and level of details.

In the week before Valentine’s Day there is an increase in the supply of flowers in the supermarkets and there is an increase in the demand for flowers. We can expect the price of flowers to ___ and the quantity of flowers sold to ___.

Country A can produce different combinations of pie and cake with their resources, as indicated in the table.

If Country A is currently producing 20 pies, what is the opportunity cost of producing one more pie? Enter a number and round to two decimal places.

A tax on sweetened carbonated beverages causes people to purchase less of these items. Which principle of economics does this example best illustrate?

- There is no such thing as a free lunch

- People face tradeoffs

- People think at the margin

- People respond to incentives

Assume that if the product requested is not in stock, it needs to be manufactured
before the order handling can continue. In this way, an order can never be rejected.
To manufacture a product, the required raw materials have to be ordered. Two
preferred suppliers provide different types of raw material. Depending on the prod-
uct to be manufactured, raw materials may be ordered from either Supplier 1 or
Supplier 2, or from both. Once the raw materials are available, the product can be
manufactured and the order can be confirmed. On the other hand, if the product
is in stock, it is retrieved from the warehouse before confirming the order. Then
the process continues normally. After confirming the order, the shipment address is
received and the requested product is shipped while the invoice is emitted and the
payment is received. Afterwards, the order is archived and the process completes.With respect to the above process, use the following report format and provide
necessary discussion under each section:

1. Assumptions & Simplifications
- State all assumptions are made to abstract the system in the conceptual
model.
- Describe any simplifications are made during the abstraction process.

2. Plan of Input Data
- Describe all input data which are required to code your conceptual model
into a computer model. Also, explain which of these data are deterministic
and which are probabilistic and propose probability distributions.
- Explain how to do you plan to collect these input data.

Assume that if the product requested is not in stock, it needs to be manufactured
before the order handling can continue. In this way, an order can never be rejected.
To manufacture a product, the required raw materials have to be ordered. Two
preferred suppliers provide different types of raw material. Depending on the prod-
uct to be manufactured, raw materials may be ordered from either Supplier 1 or
Supplier 2, or from both. Once the raw materials are available, the product can be
manufactured and the order can be confirmed. On the other hand, if the product
is in stock, it is retrieved from the warehouse before confirming the order. Then
the process continues normally. After confirming the order, the shipment address is
received and the requested product is shipped while the invoice is emitted and the
payment is received. Afterwards, the order is archived and the process completes.

3- Experimental Factors & Responses
- Discuss the potential experimental factors of your simulation study.
- Discuss the potential responses and explain how they should be presented.

Assume that if the product requested is not in stock, it needs to be manufactured
before the order handling can continue. In this way, an order can never be rejected.
To manufacture a product, the required raw materials have to be ordered. Two
preferred suppliers provide different types of raw material. Depending on the prod-
uct to be manufactured, raw materials may be ordered from either Supplier 1 or
Supplier 2, or from both. Once the raw materials are available, the product can be
manufactured and the order can be confirmed. On the other hand, if the product
is in stock, it is retrieved from the warehouse before confirming the order. Then
the process continues normally. After confirming the order, the shipment address is
received and the requested product is shipped while the invoice is emitted and the
payment is received. Afterwards, the order is archived and the process completes.

1-Descriptions of System
- Describe the system
- (If any) Explain any problem(s) in the system (e.g. causes of the problem
and its (potential) effects

A fan is designed to last for a certain time before it will have to be replaced (planned obsolescence). The fan only has one speed (at a maximum of 650 rpm), and it reaches the speed in 2.0 s (starting from rest). It takes the fan 7.0 s for the blade to stop once it is turned off. The manufacturer specifies that the fan will operate up to 1 billion rotations. Andre lives in a hot climate, works outside of the home from approximately 8:00 am to 5:00 pm, Monday through Friday, does not own an air conditioner, and can't sleep with the fan running. Estimate how many hot days ?hot Andre will be able to use the fan, rounded to the nearest day.

Explain Malibu Boats' business model (be certain to include the value proposition and profit formula). How — if at all — has it changed over the first five years?

Information:

Jack Springer, CEO of Malibu Boats since 2010, looked out over the main production facility of Louden, Tennessee, facility. In his ten years at the helm of the Tennessee boat company, he had transitioned it from an industry leader in high-performance towboats to a diversified firm that included high-performance fishing boats. A significant facet of this transition was Malibu's 2017 purchase of Cobalt Boats for $130 million and the 2018 purchase of Pursuit Boats for $100 million. Unknown at the time of the purchase was the havoc the COVID 19 pandemic would have on the world economy and the boating industry. Springer's task this summer morning was to prepare a written assessment to present at the upcoming Board of Directors meeting. Earlier in the week, the board had requested an assessment of the Cobalt and Pursuit acquisitions in the current economic context. As he looked out on the production floor, he pondered several questions: is Malibu in a better or worse competitive position with the acquisitions? What impact will a down economy have on the future success of this acquisition? And, what had the company learned from the experience?

Malibu Boats

Headquartered in Loudon, Tennessee, Malibu Boats is a top designer, manufacturer, and marketer of a diverse range of recreational powerboats, including performance sport, sterndrive, and outboard boats (Globe Newswire, 2020).

Founded in 1982 by Bob Alkema and Steve Marshall, Malibu Boats began production averaging two boats per week. The company grew quickly and increased staffing and production. In 1986, the company implemented an employee stock ownership program and had achieved a nine percent market share by 1988. Needing to expand production, Malibu opened a second plant in Tennessee, which allowed the company to produce almost 1000 custom ski boats that year.

In 1992, Malibu built a new manufacturing facility in Loudon, Tennessee. The company's focus on innovation led it to create and patent a fiberglass engine chassis system (FibECS) that eliminated vibration and noise. In the mid-nineties, Malibu expanded internationally to Australia thorough a licensee agreement.

In the area of water sports, Malibu was on the front end of research and development of wakeboarding features. By recognizing that the wakeboarding market was a natural outgrowth of the traditional sport of water skiing, Malibu was able to capitalize on this fast-growing market (Willet, 2012).

In the early 2000's Malibu established itself as the largest custom ski boat manufacturer in the world. In 2006, Horizon Holdings and Black Canyon Capital acquired Malibu.

Unlike competitors in the industry, Malibu was able to expand market share during the Great Recession of the mid-2000s.

Jack Springer was named CEO in 2009, and under his direction, Malibu launched the Axis Wake Research brand and relocated headquarters to the firm's production facility in Loudon, Tennessee. In doing so, Malibu positioned itself closer to the freshwater marine manufacturing industry.

In 2013, Malibu established a new holding company for all operations – Malibu Boats Inc. The new entity was formed, in part, to prepare for the company's initial public offering (IPO) in January of 2014. In going public, initial trading began at $14 a share, generating a market capitalization of $300 million (Kaiser, 2014).

Malibu's International Presence

Malibu has a small but important international footprint. In the early 1990s, the company had established its brand and a manufacturing facility in Australia through a licensee agreement. After Malibu's successful IPO, the company acquired all equity interests in Malibu Boats Australia and made assurances the company would maintain its presence in that market. Malibu Boats Inc. has publicly stated that Malibu Australia may become Malibu's primary producer for the entire Asian market.

In addition, through the acquisition of Cobalt boats and its dealer network, Malibu Boats Inc. has access to locations in Canada and overseas.

Acquisition of Cobalt and Pursuit Boats

Malibu's first major acquisition was a $130 million deal to purchase competitor Cobalt Boats (Malibu Boats, Inc., 2017). The deal maintained separate manufacturing operations; Malibu in Louden, TN, and Cobalt in Neodesha, KS.

In October of 2018, Malibu Boats acquired Pursuit Boats from S2 Yachts to expand its premium brand into the fast-growing saltwater fishing boat industry. The purchase price was $100 million. In addition to expanding its brand offerings, Malibu states, "the acquisition gives the company the ability to leverage manufacturing, design expertise, and distribution to accelerate outboard growth" (Trade Only Today, 2018). Malibu will finance the $100 million purchase with $50 million in cash on hand and $50 million in credit (Boating Industry, 2018).

"Pursuit is an incredible addition to the Malibu family," said Jack Springer. "This highly complementary business creates strong strategic opportunities to enhance product development across our portfolio of brands. Together, we have an opportunity to broaden our outboard offering, while leveraging the manufacturing and design expertise of the respective teams." (Trade Only Today, 2018).

Cobalt Boats

Cobalt Boats is a market leader in mid to large-sized sterndrive boats that include cruisers, bowriders, and outboards used for cruising, skiing, entertaining, surfing, and fishing (Malibu Boats, Inc., 2017). Cobalt is a world-class brand producing 24 models across six series. The company has a dealer network of 132 locations in the U.S., Canada, and overseas. The year prior to the acquisition, Cobalt generated approximately $140 million in net sales.

Pursuit Boats

Pursuit Boats, located in Fort Pierce, Florida, builds 15 models of high-quality saltwater fishing boats in lengths of 23 to 40 feet. Pursuit has established itself as a premium brand by building high-quality offshore fishing boats for over 40 years (Boating Industry, 2018).

A2 Yachts, the original parent company of Pursuit Boats, is a privately held firm. S2 Yachts will continue to operate and own Tiarra Yachts and Tiarra Sport. Limited financial information is available on S2 Yachts as it is a privately held firm.

Malibu Today

Today, Malibu Boats is a leading designer, manufacturer, and marketer of a diverse range of powerboats across four primary brands: Malibu, Axis, Cobalt, and Pursuit (Malibu Boats, 2019). Company accolades include holding the #1 market share position in the U.S. in the performance sport boat category, the #1 market share position in the U.S. in the 24'-29’ segment of the sterndrive category, and a holding a leading market position for fiberglass outboard fishing boats (Malibu Boats, 2019). Malibu's boats are used for activities including water sports and recreational boating and fishing. Retail prices across the various models range from $60,000 - $800,000.

• Malibu – The flagship line provides consumers the latest innovations and designed for customers seeking a premium performance sport boat.
• Axis – Designed for customers who desire a more affordable performance sport boat yet expect high performance.
• Cobalt – Comprise mid to large-sized cruisers and bowriders providing exceptional comfort, performance, and quality.
• Pursuit – Consist of saltwater outboard fishing boats using a center console, dual console, and offshore models.

Competitive advantage across the brands is created by new products, a strong dealer network, and innovation. Malibu has built a distinctive competitive advantage. As an example, the Integrated Surf Platform (ISP) patented Surf Gate is an industry-leading (and envied) product. Similar to other boat brands in the industry, the dealership network is vital to the customer experience and Malibu Boats. As such, Malibu dedicates significant resources to find, develop, and improve the performance of dealerships. As of July 2019, the company's distribution channels consisted of 350 dealer locations globally. Innovation continues in 2020 with the launch of Stern Turn, which provides the driver the maneuverability of a sterndrive or outboard boat, thereby making navigation easier (Malibu Boats, 2019).

Compared to competitors, Malibu Boats has a higher degree of vertical integration. Malibu manufactures many of its own parts, including towers, stainless materials, trailers, and, more recently, engines. CEO Jack Springer builds as much as 25% more in-house compared to rival companies (Malibu Boats, 2019).

• Malibu is traded on the NASDAQ – Global Market index under MBUU, a Class A common stock.
• In 2019 Net sales increased 37.6% to a record high of $684 million.
• Malibu Boats continued to be a growth company finishing 2019 as the twenty-eighth fasted growing company on Fortune Magazine's Fastest-Growing Companies List.

Marine Industry

Towable performance boats have been a large part of the marine industry. Malibu has long held a premium position in this industry segment. The saltwater outboard fishing market is one of the largest and fastest-growing segments of the marine industry.

Conclusion

As Springer reflected on the upcoming board meeting, he could not help but recall his optimism in the 2019 annual report. Specifically, he cited that the U.S economy was strong, consumer confidence high, inflation low, and employment high. As such, he was confident that markets would remain strong for the foreseeable future. Then, the COVID 19 Pandemic changed everything. The rosy picture he had painted for the 2020 fiscal year will look very different.

Assignment: A complete analysis should include a summary of the case, a SWOT analysis, a financial analysis, identification of strategic issues and challenges, and a strategic plan. You must support your case analysis with at least 3 sources in addition to the textbook.

The case describes the business model of one of the world’s largest e-tailers, Amazon.com, Inc. (Amazon). Amazon had been at the forefront of innovation, adding and refining technology and changing the way customers shopped. It had a sustainable and innovative business model that intensely focused on its long-term growth opportunities as opposed to short-term profit margins. The case discusses the business model innovation at Amazon and how it evolved from just an online bookstore into one of the largest e-commerce platforms in the world where customers could find and discover anything they wanted to buy online in a more convenient way. The case outlines the four pillars of Amazon’s business model — low prices, wide selection, convenience, and customer service. Amazon attracted customers through low prices, prompt delivery, an ever-expanding array of services and products, and exemplary customer service.In 2015, Seattle-based e-commerce giant Amazon.com, Inc.(Amazon) surprised investors by posting an unanticipated second quarterly profit in a row after struggling with profitability the previous year. In the third quarter ended September 30, 2015, Amazon’s revenues increased by 20% to US$23.2 billion, while net income was US $79 million, compared with a net loss of US$437 million in the corresponding quarter of the previous year. The revenue growth was attributed to the company’s rapidly growing cloud-computing business, higher sales in North America, and initiatives to attract more customers. On the back of these unexpected quarterly results, Amazon shares surged, making it the most valuable retailer in the world surpassing Wal-Mart Stores Inc as of July 2015. BUILDING AND EVOLVING THE BUSINESS MODEL Over the years, Amazon had disrupted the online retail industry and transformed itself from an e-commerce player to a powerful digital media platform focused on growth and innovation. It constantly reinvented its business model and found new ways to create value for its customers. According to analysts, Amazon’s business model was innovative because it combined the company’s online retail expertise with its ability to understand the needs of its customers. Amazon moved beyond books to foray into completely new product categories such as e-readers and enterprise cloud computing services. AMAZON’S GROWTH WHEEL In 2001, Bezos and his employees outlined a virtuous cycle called the “Amazon Flywheel”, which they believed powered their business. Bezos once invited well-known author and business consultant Jim Collins (Collins) to participate in Amazon’s executive retreat in 2001 to discuss the company’s future. As part of the discussions, Collins told Bezos and his executives that they had to decide what they were best at. Drawing on Collins’s concept of a flywheel, Bezos and his executives drew their own virtuous circle placing customer experience at the core of Amazon’s flywheel. Internally, it was referred to as Bezos’ napkin diagram as he drew it on a napkin... GROWTH NOW, PROFITS LATER Amazon generated revenues by selling millions of products to customers through its retail website and by charging third party sellers who sold products on Amazon’s website. It also served as a platform for independent publishers to publish books on Kindle with a 35% or 70% royalty option. In addition, Amazon generated revenue from its cloud business by providing web technology infrastructure to developers and enterprises. It followed a high fixed costs and low marginal costs business model. According to Eugene Wei, a former Amazon employee... RESOURCES AND PROCESSES THAT SUPPORT THE STRATEGY Amazon was one of the most innovative companies in the US. From the beginning, it had been at the forefront of innovation, adding and refining technology and changing the way customers shopped. On invention being a second nature at Amazon, Bezos said... CHALLENGES According to industry observers, Amazon over the years had disrupted other online retailers and brick-and-mortar stores and leveraged its e-commerce operations to become a retail Goliath. However, some critics felt that Amazon was too ambitious as it had been growing alarmingly and investing heavily. They felt that the strategy could backfire and that Amazon needed to be selective about the opportunities it pursued as it could not take customers and the competition for granted... THE ROAD AHEAD Going forward, the company planned to launch new digital products and service categories, build more fulfillment centers, power AWS, and expand the Kindle Fire Ecosystem. The company also planned to hire 100,000 people in North America for the holiday season.

Wildhorse Co. had net income of $175240 and paid dividends of $40000 to common stockholders and $19000 to preferred stockholders in 2020. Wildhorse Co.’s common stockholders’ equity at the beginning and end of 2020 was $862000 and $1370000, respectively. Wildhorse Co.’s return on common stockholders’ equity was

11.00%.

14.00%.

10.00%.

16.00%.