Fig. 1 shows a decision path used by a family-run garden centre. The business wants to expand sales of plants but does not want to borrow more money until i...
Question 1 Report
Fig. 1 shows a decision path used by a family-run garden centre. The business wants to expand sales of plants but does not want to borrow more money until it knows whether customers will use an online ordering service.
(a) When should the garden centre add a delivery vehicle, according to Fig. 1? [1]
(b) Explain one reason why the online trial is useful before buying the vehicle. [2]
Answer Details
(a) The garden centre should add a delivery vehicle when demand is high. [1]
(b) The online trial tests whether customers will actually use online ordering before the business commits to buying a vehicle. It provides evidence of demand before spending money. [1] Therefore, it reduces the risk of buying and owning an expensive vehicle that is not needed or is used too little. [1]
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