Hi,
I found a case from Fuqua 2017 book (Specialty Steel). However, the solution is not complete. I have some questions:
1. Why does the supply curve look like this? How do you explain? if there is any related concept, let me know.
2. Also, if you open the case, how would you answer this ?
(brainstorm) If we go with option C, hence
raising the price on a critical customer,
what services or offerings could our client
consider to help smooth the relationship
with the OEM over the price increase?
3. My understanding base on the current supply, our client (with the other 2 competitiors) will automatically win the bid since there is no enough supply. Is that correct ?
Thank you
(edited)