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Bay Area Bakery Company

Read the Bay Area Bakery Company case in the text. Develop and solve one or more optimization models to answer the following questions.

  1. For the current situation, is there an alternate production and distribution plan that would yield a greater contribution (assuming that each market could be served by any bakery)? Discuss any differences between your alternative and the current plan. Is there any change in your answer if costs are minimized instead?
  2. Consider the situation in five years. Continuing the above assumption, can the new site be justified from a financial standpoint? Explain.


Richard S. Barr
Thu Apr 23 12:09:53 CDT 1998