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Can you help me to write the main idea of this reading?

Today’s generation of young people (age group 10-24), the largest cohort in history at present, holds great potential for economic and social progress. Unfortunately, misuse of alcohol and illicit drugs is contributing to large numbers of deaths and disabilities for young people in developed nations. Neither a policy of criminalization of drug use nor a policy of legalization are likely to bring any desired changes. The legal production costs of cannabis are likely to drive down the wholesale prices, which together with the lower perceived risk in the legalized sales environment, are likely to spur consumption substantially, and with it, increased risk of marijuana use by minors. This increased consumption is likely to result in an increase in emergency room visits, higher road fatalities, and increased environmental damage. The purported revenue gains have to be set off against increased public health and safety costs, in addition to the health dangers to adolescent users. Prevention of substance use disorders necessitates an entirely different and evidence-based approach to address the fundamental structural causes of adverse health behavior as well as the range of community-level risk factors. In this study, the application of partial least squares to cross-sectional data on OECD countries revealed the role of the availability of drugs, income and wealth inequalities, child poverty, and employment conditions for youth in explaining the prevalence of drug disorders in OECD countries. The active involvement of youth in the nation-building task requires governments to design a broadly based, inclusive development strategy to usher in a new era of shared prosperity and healthy youth.

 
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Fashionables is a franchisee of The Limited, the well-known retailer of fashionable clothing. Prior to the winter season, The Limited offers Fashionables the choice of five different colors of a particular sweater design. The sweaters are knit overseas by hand, and because of the lead times involved, Fashionables will need to order its assortment in advance of the selling season. As per the contracting terms offered by The Limited, Fashionables also will not be able to cancel, modify, or reorder sweaters during the selling season. Demand for each color during the season is normally distributed with a mean of 620 and a standard deviation of 200. Further, you may assume that the demands for each sweater are independent of those for a different color. The Limited offers the sweaters to Fashionables at the wholesale price of $40 per sweater and Fashionables plans to sell each sweater at the retail price of $70 per unit. The Limited delivers orders placed by Fashionables in truckloads at a cost of $2,000 per truckload. The transportation cost of $2,000 is borne by Fashionables. Assume unless otherwise specified that all the sweaters ordered by Fashionables will fit into one truckload. Also assume that all other associated costs, such as unpacking and handling, are negligible. The Limited does not accept any returns of unsold inventory. However, Fashionables can sell all of the unsold sweaters at the end of the season at the fire-sale price of $20 each.

a. How many units of each sweater type should Fashionables order to maximize its expected profit? (Round your answer to the nearest whole number.)

b. If Fashionables wishes to ensure a 97.5 percent in-stock probability, what should its order quantity be for each type of sweater? (Round your answer to the nearest whole number.) For parts c and d, assume Fashionables orders 820 of each sweater.

c. What is Fashionables’ expected profit? (Round your answer to one decimal place.)

d. What is the stockout probability for each sweater? (Round your answer to one decimal place.)

e. Now suppose The Limited announces a truckload capacity of 3,100 total units of sweaters. If Fashionables orders more than 3,100 sweaters in total, it will have to pay for two truckloads. What now is Fashionables’ optimal order quantity for each type of sweater? (Round your answer to the nearest whole number.)

 
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(a) Vendor- managed inventory (VMI) is an approach to inventory and order fulfilment whereby the supplier, not the customer, is responsible for manging and replenishing inventory. However, why inventory managers still claiming the practical difficulties of setting up the Vendor-managed inventory system in the organization. Using appropriate examples, please provide your observation and identify the challenges in VMI system.

(You should write 350 – 400 words)

b) Amazon uses VMI so it doesn’t need to manually place purchase orders when stock runs low, as it has millions of SKUs to manage. This method of inventory management allows suppliers to take care of their own products within a retailer or e-tailer’s inventory.

Over half of the products listed on Amazon are sold by third party sellers. Third party vendors send their inventory to Amazon’s warehouses and the company takes care of the rest. From picking and packing, processing customer payments, to sending it off for shipping – this fulfillment strategy has benefits for all parties. Amazon simply provides the channel for vendors to sell their products.

  1. How does Amazons’ adoption of VMI when merged with other Inventory Management practices and technology create competitive advantage? Give multiple examples.
  2. It is suggested that VMI has a benefit of creating closer business partnerships. What benefits does this generate?
 
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Situation You are the director of public relations for New Health Labs, a large chemical research company in Troy, Michigan, a suburb of Detroit. Your privately held company has been in business for 21 years and has specialized in providing research and chemical analysis in a variety of areas. Virtually all your work is based on contracts from federal and state agencies and on grants from foundations. The majority of your work involves developing sewage treatment and water purification programs for applications in the United States and developing countries. Your researchers have been recognized frequently for their work in this area, and the lab has a reputation for producing environmentally sound, socially aware solutions to problems. As PR director, you have conducted an aggressive and successful campaign to generate publicity for the lab’s research program. However, the company has kept one research program under wraps. For the last 10 years, the lab has had a small contract to test Ragus-A, a new medicine that appears to reverse a genetically based deficiency of the hormone insulin, which is the cause of diabetes mellitus or Type 1 diabetes. To test Ragus-A, the lab has modified the genes of chimpanzees to cause them to lack the insulin hormone and to pass that trait on to their offspring. The offspring are then treated with Ragus-A. The experiment involves regular injections of Ragus-A. The control group is not treated and exhibits symptoms of diabetes, including episodes of insulin shock under certain circumstances. As part of the test, mature monkeys are euthanized so the long-term effect of Ragus-A on the brain and other body parts can be determined. In 10 years, 30 monkeys have been used in the experiment, and 10 have been euthanized for examination. The tests are scheduled to last another six months. The Ragus-A experiments have not been publicized nor has the contract ever been announced. In fact, most New Health employees do not know about the program, and the public knows virtually nothing about the Ragus-A contract. You learn that ROAR (pROtectors of Animal Rights) has found out about the Ragus-A program and is planning to demonstrate outside the lab in just over a month. ROAR has been successful in generating media coverage of demonstrations at the National Institutes of Health and other private laboratories in the Washington area. You are concerned about the negative publicity that could come from the protest — especially the impact of publicity on New Health employees and on decision-makers at federal and state agencies and foundations that support the vast majority of the lab’s work. When Dr. Roxan Nagel, director of the Ragus-A program, is informed of the planned protest, she suggests that the entire project — including all the monkeys and the four-person research team — be moved quickly to a small New Health facility in another state. The lab could then deny the existence of the program and stall reporters and demonstrators for six months until the project could be concluded quietly. You inform Dr. Adam Davis, president of New Health Labs and a distinguished researcher, of the planned demonstration. Dr. Davis asks you to consider Dr. Nagel’s suggestions as you continue to develop your action plan. He asks you to develop a communication plan for what the lab should do. Individual Assignment For this assignment, you are to write a memo (using your own name) addressed to Dr. Adam Davis outlining your plan to resolve this issue. Remember, that your memo will be made available to Dr. Nagel and others within the organization. In your recommendations, you should state what ethical issues you feel Dr. Nagel’s suggestion may have. You should provide both long and short-term strategies that would solve this problem. To solve the problem you should note if additional resources or expenditures would be needed to achieve the goals that you define. When writing the memo you should provide a brief description of the problems, you have found. What are the facts about major issues? Identify facts about key players in the case, the business problem(s), and then rank order the critical issues. Consider relevant information and underlying assumptions. Finally provide your recommendations. As you write your recommendations, think about the following; How do the cultural values at the company relate to communication, technology, information flow, and openness? How would you suggest that they resolve this disparity? In other words, what should they do? Provide specific suggestions that will help the organization as they go forward. In the closing, highlight the benefits of your recommendations. As a PR director, you need to be honest but tactful in your recommendations. Overall, this assignment has five elements that are all interrelated. Carefully read the “case study” and type a letter that details your specific analysis and recommendations about how the problem presented in the case might be approached and solved.
 
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