V. Case Study 1: Problem Statement You being a retailer, want to design markdown event. For this you need to decide on the discount that you will implement on respective products, such that you are expected to achieve a defined margin (this will be predefined number based on the marketing planning exercise) 1. What are factors that you will consider calculating the performance of the product 2. How will you decide what discount should be applicable to which product? 3. How will you design the optimization model structure such that the expected margin is achieved? 4. What are the constraints that you will decide in the optimization function? 5. How will you translate the discount % to actual price given the fact that the price of the product should always follow some particular slabs like 299, 399, 499 etc. Input Available Sales Data: i. Customer ID ii. Store ID iii. Store Location iv. Date Invoice Number vi. Item Code (product Size level Information) vii. Sales viii. Original Price ix. Gross Current Price (might include Discount, Markdown, Mark Up etc) X. Units xi. Margin Marketing Calendar: i. Event ID ii. Event Start Data iii. Event End Date iv. Categories for which the event is designed v. Name of the event vi. Event Details (flat discount, Buy one get one etc.) Solution Aspect 1. Assumption taken in the solution 2. What datasets have been used and how 3. Explanation of the methodology that is used 4. Define some success criteria to measure the solution