Requirement 3.
Based on the 2018 survey, Nancy Tremont believed that Corwin had to improve product quality. In making her case to Corwin management, how might Tremont have estimated the opportunity cost of not implementing the quality-improvement program? Select two ways Nancy Tremont could have estimated the opportunity cost of not implementing the quality-improvement program.
She could have assumed that sales and market share would continue to decline if the quality program was not implemented and then calculated the loss in revenue and contribution margin.
She could have assumed that the company would have to compete on price rather than quality and calculated the impact of having to lower product prices.
She could have assumed that the company would have to compete on price rather than quality and calculated the impact of having to increase product prices.
She could have assumed that sales and market share would continue to increase if the quality program was not implemented and then calculated the increase in revenue and contribution margin.
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