problem 1: What is marketing? Describe the functions of marketing in today’s global business environment.
problem 2: What do you mean by the term inventory control? Give a brief categorization of inventories.
A manufacturer needs 2000 units of an item per annum. The cost of placing an Order is Rs. 10 per order and inventory carrying cost is 16% per year per unit of average inventory. The purchase price is Re. 1 per unit on the quantities below 1000 units. A discount of 5% is ordered if the item is purchased in lots of 1000 units or above and there is a 7% discount if the whole annual requirement of 2000 units is purchased in a single lot. Find out the economic order quantity and the number of orders to be placed in a year.
problem 3: Marketing must aim at meeting a given consumer need instead of selling a given product. Comment on it.
problem 4: What is material management? Describe its importance.
problem 5: A manufacturer of Gen motors is needed to purchase 2400 castings per year. These castings are subject to quantity of Rs. 0.75 from a quoted price of Rs. 10, if the quantity purchased is 3000 numbers at any time. If the ordering cost is Rs. 100 and inventory carrying cost is 24% per year. Determine:
a) Economic order quantity.
b) Number of orders to be placed in a year.
c) Order interval, when working days in a year are 300.
problem 6:
a) Describe various steps involved in Always Better Control approach for categorizing items.
b) Illustrate drawbacks of the above approach.
problem 7: What do you understand the term called channels of distribution? State the factors influencing the choice of channel distribution.
problem 8: Derive an expression for an economic order quantity, clearly stating all the suppositions made in derivation.