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1. What is the most critical decision facing Biddy's Bakery should the firm decide to take the contract with the grocery chain? Why?

2. If you apply Little's Law to your Stealth Airplane exercise, what is the relationship between flow time and throughput?

3. A servicescape is an important aspect in designing a new service. Describe the relationship between a good servicescape and the service-encounter.

4. For Steinway, how would you describe the manufacturing process? How does the selection of this process impact the break-even formula components? Now, do the same questions for BMW. Be specific.

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