The Marketing Group for a Cell Phone Manufacturer Plans to Conduct

question 7

Essay

The marketing group for a cell phone manufacturer plans to conduct a telephone survey to determine consumer attitudes toward a new cell phone that is currently under development.In order to have a sufficient sample size to conduct the analysis,they need to contact at least 100 young males (under age 40),150 older males (over age 40),120 young females (under age 40),and 200 older females (over age 40).It costs $1 to make a daytime phone call and $1.50 to make an evening phone call (due to higher labor costs).This cost is incurred whether or not anyone answers the phone.The table below shows the likelihood of a given customer type answering each phone call.Assume the survey is conducted with whoever first answers the phone.Also,because of limited evening staffing,at most one-third of phone calls placed can be evening phone calls.How should the marketing group conduct the telephone survey so as to meet the sample size requirements at the lowest possible cost? (a)Formulate and solve a linear programming model for this problem on a spreadsheet.(b)Formulate this same model algebraically.

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Definitions:

Global Competition

The process where companies and organizations across the world compete for market share, talent, and innovation.

Commitment

A pledge or promise; an agreement that binds one with others or to a cause; the sense of duty one has to accomplish a task; an essential element of caring leadership.

Exploration

The act of traveling in unknown regions to discover new knowledge, resources, or geographical routes.