Question: 1) The per unit price sold to distributors will be $0.80, regardless of country or quantity sold. (2) The estimated market share for sales depends

1) The per unit price sold to distributors will be $0.80, regardless of country or quantity sold.

(2) The estimated market share for sales depends on how much a segment sees health and wellness as being essential to their lives. If healthy and wellness is a priority for a segment, the CFO assumes a 10% market share in that segment during the first year is reasonable. If health and wellness is not a major priority, the market share is assumed to only be 5%. Health and wellness is considered to not be a priority for a segment if less than 50% of the members of that segment identify it as a priority.

Question 1: Using the GfK data and the information provided by the CFO, what is the estimated annual sales for each segment?

CALCULATION:

Annual Sales $ estimated per segment = [(Original Estimated Units Sold Per Segment per Year) (Assumed Market Share, per CFO's rules) (Price per unit to distributors)]

Question 2: Which country, overall, has the highest estimated annual sales? Which country has the lowest estimated annual sales?

Question 3: Based on these estimates, how much money per consumer would we expect for each segment?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

To solve this problem I will go through the three questions one by one Question 1 Using the GfK data and the information provided by the CFO what is t... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!