CIMA Gateway Exam G1 Question # 3 Topic 1 Discussion

CIMA Gateway Exam G1 Question # 3 Topic 1 Discussion

G1 Exam Topic 1 Question 3 Discussion:
Question #: 3
Topic #: 1

G1 Question 3

The Finance Director stops you in the corridor and says the following:

"I have been asked to convene a working party that will report to the Board. The working party's remit is to make a recommendation concerning the proposal that Pizzatime should enter the home delivery market. This will be a major expansion of our business. The idea has come from Marketing and Bilal seems very keen on getting the Board to proceed. In fact he's even had one of his staff produce these flyers. Have a look at this!

 

I would like you to draft a paper for me that covers the following:

 

Is this proposal consistent with Pizzatime's current strategy?

 

What will be the difficulties associated with predicting the profitability of this new sales channel? What decisions will we have to make about the delivery method and location of preparation facilities before we start to analyse potential profitability?"


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