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Julias Food Booth case problem - Essay Example

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The process of linear programming is an opposite one from the method of linear regression because the former one is used to determine the level of dependent…
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Julias Food Booth case problem
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"Julias Food Booth case problem"

Download file to see previous pages obsession with figures and data has led to the development of these methods and they are applied in multiple fields from applied physics to management sciences (Chen & Wang, 1997).
Julia Robertson faces a challenge of knowing the probable number of units she should sell before making a profit of $1000. She is planning to sell one piece of hot dog and pizza for $1.50 while, she is looking to vend barbecue sandwich for $2.25 and her total budget is $1500. The pizza, hotdog and sandwich will cost her $0.75, $0.45 and $0.90 respectively. Following is the tentative linear model that will be applied in order to determine the number of units of each merchandise type that should be sold to make 1000 bucks in each game.
According to the results obtained by running a solver “Add in” in Excel, it was found that Julia is required to sell 100,000 units of all merchandise before she can think about earning 1000 bucks. The goal of Julia is just too large for a business of vending edible products during a football match. The audience is going to be just more than the target number of customers and therefore, the opening of a booth will be a risky endeavor to say the least. The competition which Julia’s booth will be facing is also going to be immense in nature because Tech Athletic Department will also be selling drinks and food items in the stadium. The customers shall prefer to purchase items from the same install rather than wandering around seeking stalls of different natures (Baron & Tang, 2011). The Tech manages matches as events and it can be understandable that they must have obtained substantial sponsorships. The provision of food items is not a proper business but it is provided out of sponsors’ money. So opening a booth in order to sell food items is not a feasible business venture and Julia will be better off if she decides to knock the idea off from the table and search other options of financing for her studies.
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