Making Management Decsions Essay Example | Topics and Well Written Essays - 500 words

Making Management Decsions - Essay Example The company performance is similar to that of the other companies, but also affected by the environmental influences (Eberhard,  Reiner &  Herbert, 2005). The company has managed to acquire products that are marketable but needs financial assistance to foster a successful launching of the products. The efforts have been made in order to facilitate the acquisition of the required funds through the approach of the venture capital company. The company has been incurring the cost of construction that amounts to  £2 million in order to finance the construction of a pilot plant. If scrap value of the company is  £200,000, this is the amount that would be valued if the company were to decide the discontinuing of the pursuit of production of the products. This is a plan of investing an additional  £8 million in order to facilitate the continuation of the operation of the company. The factory is anticipated to be in function for a period of ten years with a production capacity of 150,000 liters of products every month. The company has decided to sell the product produce at a price of  £2 per liter for the detergent. This price of the product is based on the market research that is conducted in the industry (Olson, 2009). (b) A brief discussion of factors likely to influence the demand for an ‘environmentally-friendly’ product of this kind. Gather evidence from the experience of other similar companies (eg Ecocover etc). This should be no longer than 300 words. The rise in demand of the environmentally friendly products is attributed to the increase in the increased focus on the environmental issues. Various efforts that are focused on sustaining the environment have been implemented. The strategies have created the incentive of terms like offsetting and others like the carbon footprint. Numerous organizations are focusing on the efforts aimed at focusing on the adaption of the marketing strategies for the