A company has to decide whether to develop a new product


A company has to decide whether to develop a new product, Prototype A, or the existing Product B. After discussions, it was agreed that the following scoring model would be helpful:

a. Using an appropriate method, evaluate the model and indicate whether your results support the case for developing a new product Prototype A or developing the existing Product B.

b. It has been agreed that the last two factors are of more importance. Evaluate the model again, but this time give 'product life expectancy' a weighting of three and 'expected returns' a weighting of two. Comment on your results.

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Basic Statistics: A company has to decide whether to develop a new product
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