Running head: Operations Decision
ECO 550 – Managerial Economics and Globalization
In today’s uncertainty of economic success, one must carefully conduct an economic scan of his or her company. This paper will describe a mock company and assess the current environmental factors that impact the company’s operations and management decisions. This paper will also evaluate the economic performance and recommend how the company might improve profitability. Finally, this paper will discuss any circumstances in which the company should continue or discontinue operations.
Briefly describe the details of the fictitious business that you created for this assignment.
Genius Inc. operates out of one location that is headquartered in Carrboro, North Carolina. It is a growing company that produces a gaming system called Genius 3D. Genius 3D is a portable, 3D gaming system that is the size of a Blackberry Playbook tablet. Genius Inc. was established by Devona Ward, who is a die-hard gamer, in 1990. Overtime, Wards’ business flourished. At the height of the business, Genius Inc. employed over 350 employees but currently Genius Inc. employs 100 permanent, part-time employees. As Genius Inc. took flight, competition began to rise with more popular gaming systems coming into the market. Unfortunately, with the forces of global competition and technological advancements, Ward realized there had to be changes within her corporation. Ward thought it necessary to hire me, as a Managing Consultant, to offer some advice that will help it make a decision as to whether Genius Inc. should shut down completely or continue operations.
Assess the current environmental scan factors that are relevant to the decision making process. Determine the factors that will have the greatest impact on plant operations and management’s decision to continue or discontinue operations. Provide a rational for your determination....