Supply chain management.

Exercise Assignment #1:

Create a new product: A chocolate bar for a country location other than the United States. Specify the target market (not just “all middle aged people” but be specific), product features (how do the features meet the needs of the target market?), and product name (how does it reflect the product features and target market?).

Then decide on the following:

Tip: This is a great exercise for you to see how interconnected these decisions are. The target market and product design are directly linked to production processes, sourcing, and other decisions. It is a good point to make that this is the essence of supply chain management.

Tip: It is a good place to discuss the issue that production capacity can be set above the forecast of demand (e.g. anticipating demand down the road but incurring overhead costs) or below demand (e.g. creating scarcity of product).

 
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