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The cost of hardware, software and communication are decreasing dramatically every year. In the past, applications develop and e-business designers were held back these costs. In the future, these costs may be so low as to be insignificant. The one area where we seem to have a difficult time reducing costs is software development; salaries, employee benefits and real state costs are all build into the expense of developing software. Therefore, many people believe the key to future systems is to reduce software development costs and cleverly conceptualize the premises of theses business.
Question A: How will these trends affect the development of future e-businesses and applications?
Question B: What types of applications do you think will become successful in the future given these parameters?
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The cost of these is $200 each and demand is constant throughout the year. The holding cost is $20 per unit per year. If Mark is ordering in lots of 90 units, illustrate what is his total order cost per year?
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