The Studebaker Company Is Evaluating Two Proposals for a Commercial

Essay

The Studebaker Company is evaluating two proposals for a commercial software package.Three relevant factors were identified and weighted.Then the evaluation team assigned raw scores from 1 to 5 to each factor for each vendor.Proposal One will cost $70,000 and Proposal Two will cost $65,000.
$\begin{array}{lccc}&& \text { Proposal } & \text { Proposa } \\&\text { Weight } & \text { One } & \text { Two }\\\text { Vendor support } & 30 & 4 & 5 \\\text { Ease of use } & 30 & 5 & 4 \\\text { Range of capabilities } & 40 & 5 & 3\end{array}$ Determine a composite score and a performance/cost index for both proposals.Which proposal is the more economically feasible choice?