At the conclusion of three decades, Nakamura might have minimal bargaining energy with RC because it would have an extra capacity of 275,000 items and surplus labor which it might need to make the most of. During this feeling the offer is risky. Even more, the present isn't versatile. Lengthy-term profit maximization is uncertain Within this case a problem that could be controlled in the SSW supply. For this reason, this present is rejected.
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Settle for SSW: present; acknowledge the SSW offer and satisfy it by means of slicing down on supply into the domestic sector or through potential expansion or both of those. Negotiate phrase of supply.
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Short-term returns: Nakamura need to get some returns about the investment he would make on the new presents. Nevertheless, this criterion might be compromised in favor of profit maximization In the long term.?
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