The client company hired you to consult regarding the newly developed product. Think of any product you have in mind. The company faces two decisions either to launch the new product at the international market or to evaluate it to test at a national market. In order to provide the company the best decision, you will prepare the following:
1. Indicate your own estimates of the profit for launching it internationally and nationally with respective probabilities of events.
2. Using the TreePlan, Flow chart in Powerpoint, or other decision tree visualization tools you may obtain, construct a decision tree to determine the optimal decision strategy. If using Tree Plan, under options, choose the default: Expected Value and Maximize.
3. Assess the risk associated with this decision.
4. Summarize your results and present justifications of your chosen decision strategy and provide recommendations to the client company. Address your report to the company’s executive in charge of making this decision.
The report consists of up to 2500 words, single spaced. Follow a typical consulting report format. TreePlan software is free for download as indicated in the study folder.
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