Q2. Explain the following Channel Availability evaluation measures with examples and solve the associated numerical: a. Numeric Distribution (%)

a. Numerical 1: Alice sells photo albums to gift shops. There are 60 such stores in her area. In order to generate adequate distribution coverage, Alice believes she must reach at least 60% of these. In initiating her relationship with each store, however, Alice must provide the store with $4,000 worth of inventory to build a presence. To attain her distribution goal, how much will Alice need to invest in inventory?

b. Numerical 2: The marketers at Madres Tortillas want to know the Numeric Distribution (%) of their distribution network. How much is it? Make relevant assumptions.

Outlet All Sales Tortilla Sales Madre's Tortilla Stocked Padre's Tortilla Stocked Store 1 $100,000 $1,000 Yes Yes Store 2 $75,000 $500 Yes Yes Store 3 $50,000 $300 Yes No Store 4 $40,000 $400 No Yes