Freemantle Laundry Has a Variable Demand

question 54

Essay

Freemantle Laundry has a variable demand.The daily demand ranges from 60 to 100 customers a day with an average of 5 items.The average daily demand is 75 customers.The laundry operates 7 hours a day.Each wash cycle takes approximately 5 minutes.
Required:
a.What is the average customer waiting time,in minutes?
b.What is the cycle time for an order?
c.The manager has decided that the waiting time is too long and has increased the workday to 8 hours.What is the waiting time now? Will the customers be any happier?
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Definitions:

Relationship Marketing

A marketing strategy that focuses on attracting, maintaining, and enhancing customer relationships.

Production Orientation

A marketing strategy in which the firm focused on efficient processes and production to create quality products and reduce unit costs.

Sales Orientation

A business approach that focuses on selling as many products as possible, prioritizing sales volume over the satisfaction or needs of the customer.

Competitors

Companies or individuals that offer similar products or services within the same market, vying for the same customer base.