DIMENSION
IMPORTANCE
TO YOU
HONDA
ENIGMA
BIZZARINI
BOOSTER
HONDA
ENIGMA
BIZZARRINI
BOOSTER
Fuel economy 3 5 2 15 6
Reliability 5 5 2 25 10
IMPORTANCE
VALUE INDEX
a.)
$20
8 hrs 72 hrs 95%
9 hrs $30
McAdoo Klooless Big Al
b.)
c.)
d.)
Order Qualifiers
Order Winners
Pick up shipments
Deliver shipments
Cost per 100 lbs.
% of shipments
a.)
b.)
Increasing the conformance quality to above the qualifier level will allow Supplier B to compete for the
Supplier A should decrease their cost to $18 per liter by increasing the minimum order quantity to 80
Calculating the Value Index for Two Alternative Suppliers
Performance: 1 = “poor” to 5 = “excellent”
Importance: 1 = “completely unimportant” to 5 = “critical”
Importance Supplier 1 Supplier 2 Supplier 1 Supplier 2
Performance quality 3 4 3 12 9
Performance
Value Index
Question 1.)
Question 2.)
Question 3.)
Netflix may choose to abandon physical distribution, but a significant market still exists for those that
In 2011, Netlfix changed their focus from physical distribution of DVDs to direct streaming. Pre-2011,
Order winners and qualifiers for Netflix likely include availability of desired content and speed of