Question a firm that sells software services has been, Ask an Expert

Management Studies

Question: A firm that sells software services has been piloting a new product and has records of 500 customers who have either bought the services or decided not to. The target value is the estimated profit from each sale (excluding sales costs). The global mean is $2,128. However, the cost of the sales effort is not cheap - the company figures it comes to $2500 for each of the 500 customers (whether or not they buy).

If the company begins working witha new set of 1000 customer sample to sell the same service, similar to the 500 in the pilot study, will the estimated profit be twice as much or the same?

View complete question

Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92702617

Have any Question?Write your Review or question?

Related Questions in Operation Management

Case study exam and patient assessment ndashusing emr and

Case Study: Exam and Patient Assessment –using EMR and ePrescribing Patient Paul has a scheduled appointment with Ms. James, a Physician Assistant at Big City Family Practice, for a sore throat. Medical Assistant Allie e ...

1 what is a decertification election with respect to the

1. What is a decertification election? With respect to the objectives of organized labor, how did most of these elctions turn out during the 1980's? 2. What is the origin (not meaning) of the word “magazine?” Relate the ...

A customer service center has customers call with questions

A customer service center has customers call with questions about the use of a product. The mean arrival rate of customer calls is 20 per hour and follows a Poisson distribution. The mean service rate (how long it takes ...

If an organization has three information assets it

If an organization has three information assets it evaluates for risk management purposes, as shown in the accompanying data below, which vulnerability should be evaluated for additional controls first? Which vulnerabili ...

Increasing knowledge about the biological factors that are

Increasing knowledge about the biological factors that are a part of abuse and dependence has opened the doors for the development of drug therapies that may be useful in the treatment of addictive disorders. The increas ...

Assignmentimagine that you are the talent management

Assignment Imagine that you are the Talent Management Director of an organization. Create a 12- to 15-question organizational development needs survey using Microsoft®Forms. Include questions that ask leaders to evaluate ...

Amco international is a fictional importer of handcrafted

Amco International is a fictional importer of handcrafted leather and reptile skin handbags from India. The Indian company that sells these handbags will ship these handbags only in order sizes of 240 units. The cost of ...

Create a list that outlines at least five of the expenses

Create a list that outlines at least five of the expenses and 3-5 forms of revenue you anticipate for the sporting event you are planning. Be sure to include a brief summary of the event followed by the list of specific ...

Ldquomaking smal big smal camera technologiesrdquo is an

“Making SMal Big: SMaL Camera Technologies” is an innovative product that made significant profits in the first year but then quickly was attacked by competitors. The evolution and technology of the product in detail. It ...

1 how has the internet and social media changed the world

1. How has the Internet and Social Media changed the world of recruiting? 2. Based on the book Managing Customer Relationships by Peppers and Rogers, how can a company use new technologies and IDIC tasks to build a Learn ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Operation Management Expert