me custom print and stock print products. Unit output and revenue contributions for a traditional strategy year are compared by market segment in Table 1, below.
Unit Output and Revenue By Market Segment (Based on 1987 Projection From Past Sales Performance Under Traditional Strategy)
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Unit Output/ High Volume, Low Volume, Stock PrintRevenue Custom Print Custom Print
Unit output 535 mil. 314 mil. 211 mil.
% Total output 50.5 29.6 19.9
Sales revenue $13.8 mil. $9.7 mil. $4.5 mil.
% Sales 49.3 34.6 16.1
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Peak demand for high volume, custom print products occurred from April through August. Product standardization, however, permitted the firm to produce for inventory, thus, avoiding the necessity of overtime work during the peak demand period. Peak demand for low volume, custom print products occurred from April through July. An absence of print standardization in this market segment caused to company to frequently schedule overtime work to fulfill customer orders during the peak demand period. Peak demand for stock print products occurred from April through August. Product standardization, however, permitted the
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