Let There Be Light Lamp Shade Company Essay

There are many ways in which a company can approach the costs related to designing and producing a product. Mainly the prototype will face a few changes as a way of attaining a decrease in cost for the product (Kumar & Krob, 2005). As for Let There Be Light Lamp Shade Company, the approaches are mainly in three options. These options are means through which the Let There Be Light Lamp Shade Company can satisfy the ever growing market within Asia. The concepts being looked into are the impact that design changes such as weight and packaging may have on the overall cost of the product and even other expenses such as transportation (Wood & Murphy, 2011).
Cost Breakdown
The concept of design applied by the company was based on a cylindrical lampshade. This lampshade in terms of packaging could only fit one in every box. Therefore the total products that could be held within a one cubic foot box total up to 2,560 boxes of one lampshade each. The current order is that of 5,400 shades and thus using a one cubic foot box, the company will use a total of 3 containers. For transportation purposes via the ocean, a ton is treated as any measures of 40 cubic feet and this costs roughly $1,408 while transportation via land will charge $1,000 for every container transported.

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