4. Brother limited want to launch the adult laptop devices onto the market. They are unsure...
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4. Brother limited want to launch the adult laptop devices onto the market. They are unsure of which strategy to adopt to make this a success. Brother limited are aware that they operate in an extremely competitive market place. Required: (a) Outline the four generic strategies outlined by Porter and discuss which of them would be most suitable to adopt. (10 marks) (b) Management how now decided to produce and manufacture a new USB storage device. The business incurs fixed costs of £700,000 a month. The contribution margin is 65% of revenue. i. ii. Determine the revenue needed to breakeven each month. (3 marks) Determine the operating income (or loss) if the revenues for the business are £820,000. Comment on your findings. (7 marks) Explain the assumptions underlying cost volume profit (CVP) analysis that management should take into consideration? (5 marks) 4. Brother limited want to launch the adult laptop devices onto the market. They are unsure of which strategy to adopt to make this a success. Brother limited are aware that they operate in an extremely competitive market place. Required: (a) Outline the four generic strategies outlined by Porter and discuss which of them would be most suitable to adopt. (10 marks) (b) Management how now decided to produce and manufacture a new USB storage device. The business incurs fixed costs of £700,000 a month. The contribution margin is 65% of revenue. i. ii. Determine the revenue needed to breakeven each month. (3 marks) Determine the operating income (or loss) if the revenues for the business are £820,000. Comment on your findings. (7 marks) Explain the assumptions underlying cost volume profit (CVP) analysis that management should take into consideration? (5 marks)
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Answer rating: 100% (QA)
Answer a Michael Porter a wellknown management consultant and professor suggested four general tactics that a business might use to acquire a competitive edge in its market These are the strategies 1 ... View the full answer
Related Book For
Financial and Managerial Accounting
ISBN: 978-0132497978
3rd Edition
Authors: Horngren, Harrison, Oliver
Posted Date:
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