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Esther contacted Big Bob's Boat Emporium regarding purchasing a motorboat. Esther explained to Big Bob Oakley, the owner, that she needed a boat for an upcoming water ski show, and the boat had to be able to pull ten skiers simultaneously at a speed of thirty miles per hour. Bob showed Esther a used StarCraft model with a 175 horsepower outboard motor. Bob told Esther, "this baby has more power than you'll ever need, it can pull twenty skiers at a good forty miles an hour. You won't be disappointed." Esther eventually purchased the boat, but trouble quickly ensued. With the ten skiers in a pyramid formation, the boat struggled to reach twenty MPH. In addition, after only two weeks of regular use, the boat began losing power. An inspection revealed a crack in the motor. Irate, Esther confronted Bob with the facts and Bob responded: "once you took that boat off my lot, it became your baby. Besides, Big Bob NEVER guarantees used equipment. Sorry." Is Bob right? Did he really not breach any warranties when he sold the boat to Esther? Be sure to explain the reasons for your answer.

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92475340

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