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Assume that Midas is deciding whether it should add engine tune-ups to its existing product line. Top management has called you in as aconsultant to help it to analyze this opportunity. The first thing the consultant asks you to do is read the Midas and Genoa Ford Feature in thischapter. Management is concerned about the impact that this new service will have on existing operations. Presently, the company has a policy thatcustomers will not wait longer than 30 minutes for muffler service. How can Midas maintain that pledge? What methods for scheduling tune-upservice might make it easier for Midas to keep its pledge? If reaction to the new service is great, the shops may not have the capacity to satisfydemand. Should the company add capacity to existing shops to take the extra load, or should it add more shops? How will the shop ownersreact to the new proposal? Assume that most of the shops are very profitable. Will the owners want higher profits? Midas's management is looking for help in organizing its thinking and has asked you to respond to the following questions in a two-page report.Your responses should include the critical issues raised in the previous paragraph.

Operation Management, Management Studies

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