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Business start-up of hand-poured scented soy wax candles

3 forms: Tin and Jar (Small & Large)

Processes
Business
• Purchase of raw-material
Introduction • Self production
• Storage
• Packed
• Printed
• Labelled
• Shipped

Fixed demand from 4 retailers, 2 in Lahore and 1 in each


Islamabad and Karachi

Online orders also shipped to these 3 cities


Company faces a serious problem;
extremely high costs

Underlying Short run nature of the business,


informal business practices and
Problem lack of mathematical analytical
expertise

Linear programming model is


developed to cut off the additional
costs
DATA
Production
Cost per Item
Demand
Delivery
Charges
Sales Price
Delivery Charges

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