Use the Information Below to Answer the Following Question(s)

question 12

Multiple Choice

Use the information below to answer the following question(s) :
A retailer operating a network of home improvement stores has annual sales of $800 million,
annual cost of goods and materials purchased of $500 million,and net income of $125 million.
-If a newly implemented strategic sourcing process is able to reduce the cost of goods and materials purchased by 15 percent,what would be the new net profit,given that annual sales and other costs remain unchanged?

• A)$150 million
• B)$175 million
• C)$200 million
• D)$250 million

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Definitions:

New Version

A newer or updated edition of a software, product, or service, usually featuring improvements or added features over previous iterations.

Refreshing for the Customers

Strategies or actions taken by businesses to rejuvenate their products or services to maintain or enhance customer satisfaction and engagement.

Open Innovation Platforms

Online or digital environments that facilitate collaboration among individuals and organizations to share ideas, develop new products, or improve services.

Innovation Management Software

Software tools designed to help organizations manage their processes for innovation, from idea generation to product development and market introduction.