Capacity implications of the marketing campaign


Suppose that AlwaysRain Irrigation's marketing department will undertake an intense ad campaign for the bronze sprinklers, which are more expensive but also more durable than the plastic ones. Forecast demand for the next four years is

Yearly Demand (in 000s)

2011 2012 2013 2014

Plastic 90 32 44 55 56

Plastic 180 15 16 17 18

Plastic 360 50 55 64 67

Bronze 90 7 15 18 23

Bronze 180 3 5 6 9

Bronze 360 11 16 17 20

What are the capacity implications of the marketing campaign (assume no learning)?

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Operation Management: Capacity implications of the marketing campaign
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