Question: Taking advantage of consumer weaknesses is what the Impulse Shopping Network does best. On- air hosts peddle each product during a predetermined period of time.

Taking advantage of consumer weaknesses is what the Impulse Shopping Network does best. On-
air hosts peddle each product during a predetermined period of time. During each segment (10
minutes maximum), viewers are enticed to whip out their credit card and order the product shown
before the time runs out. These marketers are so convincing that even the savviest consumer can't
avoid temptation. Moore Zales, Director of Marketing at Impulse Shopping Network needs to do
some product planning for tomorrow evening's line-up. She needs to decide how to split the group
of products being offered between an hour of peak and two hours of off-peak airtime in order to
maximize the profits generated for the three-hour line-up. The following is a list of available items,
their wholesale cost, retail price, stock-on-hand, and data on the quantity sold per minute in the
previous week during both peak and off-peak times. 

http://tavana.us/Impulse.xls 

Taking advantage of consumer weaknesses is what the Impulse Shopping Network does

Image transcription text

Wholesale Units Sold Per Minute During Peak Units Sold Per Minute During Off-Peak Stock On- Product Cost Retail Price Mon. Tue. Wed. Thu.
Fri. Sat. Sun. Mon. Tue. Wed. Thu. Fri. Sat Sun. Hand Ab Cruncher 14.95 29.95 73 75 79 87 89 94 0 41 42 43 47 0 43 36 700 Amazing
Showerhead 10.95 29.95 122 114 109 0 124 128 131 35 36 0 44 32 35 42 600 Auto Hammer 5.95 22.95 102 0 120 102 98 99 102 4... 

Note: Zero units sold in the above table indicate the product was not shown on-air on a particular day.

 

A managerial report is needed to help Moore Zales decide how to split the group of products being
offered between an hour of peak and two hours of off-peak airtime in order to maximize the profits
generated for the three hour line-up.

 

Please use Excel Solver along with showing formulas for each step. Thank you!

 

 

 


Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock 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 Mechanical Engineering Questions!