1. Describe the simulation results and your recommendations.

Category Cumulative Value * Occurences

Value Frequency Probability Occurrences Percentage
name Probability Frequency * Value

GPS 3 2 0.02 0.02 0.06 0 0 0

Tents 9 7 0.07 0.09 0.63 0 0 0
Backpack 19 14 0.14 0.23 2.66 1 0.1 19
Shoes 22 16 0.16 0.39 3.52 2 0.2 44
sleeping
13 10 0.1 0.49 1.3 1 0.1 13
bags
jacket
(water 31 23 0.23 0.72 7.13 4 0.4 124
repellent)
Grill stove 8 6 0.06 0.78 0.48 1 0.1 8
Utensils 12 9 0.09 0.87 1.08 0 0 0
first aid 11 8 0.08 0.95 0.88 1 0.1 11
solar
7 5 0.05 1 0.35 0 0 0
lanterns
Total 100 1 Expected 18.09 10 1 219
Average 21.9

Using the items with its corresponding demands, we obtain a probability distribution

shown in the table above using simulation. Based on the results presented above, the three

most saleable items are jacket, backpack and shoes with a probability of 23%, 16% and 14%

respectively. Considering the number of occurrences of the ten items there is a high percentage

on the jacket of 4%, next is 2% for the shoes and 1% for the sleeping bags, backpack, Grill

stove and first aid. It indicates that jacket mostly occurred and most saleable items in the

company.

Thus, Outdoor Gear Store stocked 23% of its inventory for Jacket, 16% for the backpack

and 14% for the shoes so that their loyal customer would not be transferred to their closest

competitor manly Gear Store.

 2. Describe the simulation results and your recommendations.

Category Cumulative Value * Occurrences

Value Frequency Probability Occurrences Percentage
name Probability Frequency * Value

Shoes 0.32 15 0.32 0.32 0.1 3 0.3 0.96

Jacket 0.47 22 0.47 0.79 0.22 6 0.6 2.82

Backpack 0.21 10 0.21 1 0.04 1 0.1 0.21

Total 47 1 Expected 0.37 10 1 4

Average 0.4

The simulation result shows the three (3) items Manly Gear Store offered a

discount to Outdoor Gear Store. Based on the table presented above, Using the items with its

corresponding demands, we obtain a probability for jacket, backpack and shoes of 47%, 21%

and 32% respectively. Considering the number of occurrences of the three (3) items there is a

high percentage on the jacket of 6%, next is 3% for the shoes and 1% for backpack. It indicates

that jacket mostly occurred and most saleable items in the company.

Thus, the offer of Manly Gear store to Outdoor Gear Store would be beneficial to the

both stores because those items are also the most saleable product in there store and it could

give them a fair competition.