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Roll no: 84
KPH assembled planters in Iowa, Davenport, and harvesters in Iowa, Ames. Demand for each
product was highly seasonal.
Here ,
As per above data one option was to replace each plant with a similar new plant,
Another option was to expand the Devanport plant to allow for both planter and
harvester assembly.
Option 2 nd was better because ,
Employee retention
Lay off cost benefits (kph $5000 and harrying cost $3000.