This case describes the process of purchasing a small coal electric utility. Head of the fuel production must decide how much coal to purchase from each vendor and how to allocate the purchased coal from three coal-fired utilities. The situation can be modeled and solved by linear programming. Sensitivity analysis can be used to help formulate a strategy for negotiating with suppliers and to address other specific issues. "Hide
by Sherwood C. Frey Jr, Robert I Carraway Source: Darden School of Business 6 pages. Publication Date: 05 April 1991. Prod. #: UV0568-PDF-ENG