Generalized Blue Law Game Case Study Solution
If both store will remain closed on Sunday, then the total fixed costs for two stores will be 25*6*2= 300 and the total revenues will be 700 dollars, so, the net benefit will be 400 dollars in the case of no lost sales while in the case of 25% lost sales at Sunday, the total sales will be 675 which will generate the net benefit of 375 dollars. When the both stores will open on Sunday, then the total fixed costs for two stores will be 25*7*2= 350 and the total revenues will be 700 dollars, so the net benefit will be 350 dollars. If one store will open at Sunday and one will remain closed then the total fixed costs for two stores will be 25*7+25*6= 325 and the total revenues will be 700 dollars, so, the net benefit will be 375 dollars.If both stores would remain closed on Sunday, they would generate a value in total, so, in this sense, both stores could win at the same time.................................
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