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Jet Task 1

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Submitted By blackdouglas76
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The first option is to reproduce the whistle and package it for the cost of $100,000. We could discuss what the comfort level is with the school district in shipping the product a little later and reassure them that the lead problem has been addressed and corrected. They should be informed that a minimum of two weeks will be necessary to correct the error. Although key members of the school system may be disappointed, I believe that they will appreciate our honesty and the fact that we are trying to produce a safe and quality product. This honest approach to the problem should serve to preserve our integrity with the customer and that is why I offer this scenario as a possible repair to our situation. There is of course the possibility that the school will opt not to use us again for future business and begin trading with a competitor. This is a risk that we must take as this risk is much less than the risk involved in a child’s health, our reputation, or being presented with a class action lawsuit.
The next option would also cause our company to incur loss, but it would mitigate the amount needed to finance another production run. One positive factor on our side is that at least we didn’t see a loss from shipping. Being that these items are still resident within our warehousing, we can simply dispose of them by means supported by the EPA. The option is to simply let the customer know about the mishap and offer to refund their money on the whistle only. That of course could only be an option if the customer was agreeable to it. If the client is opposed, we could attempt to use a subcontractor to supply us with a similar version of the whistle that we originally offered.…...

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