Container Transportation Company Case Study Help
Evaluation of alternatives
On the basis of calculations; there were two criteria that were used to find the best strategy for revenue and profit maximization.Alternative A is based on pricing strategy and Alternate B is based on loadability of containers.
Recommendations
According to the calculation the best strategy to apply for revenue and profit maximization is Alternate A, because it can help the company in earning the revenue of $2,787,240.48 while Alternate B’s revenue is lesser, which is $2,772,805.15. It means if we choose Alternate B; we will have to bear the opportunity cost of $14,435, therefore the top management must consider the Alternate A and fluctuate the price at low season and high season instead of focusing on loadability...............................
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