Question: Brand Development Index and Category Development Index 4. (10 points) As a brand manager you review the brand development index (BDI) and category development index

Brand Development Index and Category Development
Brand Development Index and Category Development
Brand Development Index and Category Development Index 4. (10 points) As a brand manager you review the brand development index (BDI) and category development index (CDI) for the automotive segment as a measure of your company's brand strength and category strength in the market. It's fairly typical for a brand manager to decide where marketing dollars should be spent. A BDI/CDI assessment can help you do this. You'll see 3 columns below. The first column is Acme's percent of sales in the U.S. Just by looking at the sales percent in each city you may make some inferences, like which cities are strong and which are weak? While you could deploy marketing resources based on sales per city, that is probably not enough information to make a good decision. That's where a BDI/CDI comes in. For example, it's helpful to know what the awareness is in each city. In addition, it might be helpful to know how the sales in a city compare to the 2 vehicle parc (number of vehicles). To get the BDI, you divide the sales per city/Unaided awareness. You use the same equation for the CDI. (So, for Atlanta, the BDI would be (10%/20%) X 100 or (.107.20) X 100 or 50). This index gives you an idea of how strong each city is with regard to brand awareness and vehicle parc. An index of 100 is the average. vehicle parc (number of vehicles). To get the BDI, you divide the sales per city/Unaided awareness. You use the same equation for the CDI. (So, for Atlanta, the BDI would be (10%/20%) X 100 or (.107.20) X 100 or 50). This index gives you an idea of how strong each city is with regard to brand awareness and vehicle parc. An index of 100 is the average. Complete the BD1/CDI. Please paste in an excel sheet showing your answers. How do you interpret the results? Your boss has given you $50,000 to invest in market development. Using the results of the BDI/CDI, which markets would you invest in? Again, there is no right or wrong answer. Apply critical thinking skills. Justify your answers in a few sentences. You will be graded primarily on your analysis and interpretation, not just the completion of the BDI/CDI index. BDI Atlanta Boston Chicago Dallas Detroit Houston New York Los Angeles Orlando Phoenix San Francisco Seattle Total Acme Sales by city 10% 7% 14% 7% 3% 6% 16% 10% 6% 1296 595 4% 100% Unaided Awareness for the Acme brand 20% 10% 20% 7% 20% 15% 10% 17% 2% 105 10% 10% CDI Atlanta Boston Chicago Dallas Detroit Houston New York Los Angeles Orlando Phoenix San Francisco Seattle Total Acme Sales by city 10% 7% 14% 7% 3% 6X 16% 10% 6% 12% 5% 4% 100% Vehide Parc 7% 10% 12% 11% 7% 13% 9% 10% 3% 4X SS 93 100%

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