Giant Consumer Products (Gcp)

The company started off producing 20,000 units of mountain bikes. We did not change the production quantity. Last year our forecast sales were 24,000 when we only sold 19,866; therefore we thought it would be best to leave production at 20,000 bikes. Having excess inventory, we concluded that 20,000 units should be enough considering our quality has not changed and our advertising will not increase the sales dramatically. Although we had the choice to produce as much as 30,000 units, we felt as though we did not have sufficient money to increase production. We were interested in allocating the money towards marketing as opposed to production. We realized that without awareness, no matter how many units we make, sales would be inefficient.

The company has been functioning well in terms of generating profit and demand so far. However, there will be a 20% increase in demand for the next month of operations as predicted by management, and the production and supply management's problems may come as a problem they can no longer afford.

If you compare bakery sales in July to bakery sales in September, it shows a 66% increase in sales in just two months. Peyton Approved uses its equity to finance the business than taking out loans. It has a .36% Debt to Equity ratio. The best ratio for the business is the profit margin. In three months the profit margin for Peyton Approved is 53.4%. The company just added a product line of hypoallergenic shampoos. It has been selling these products for one month and the company only turned the product over once during that month. At this time it does not look like adding these products to sales is

Company Q has had a large demand from their customers to provide healthy and organic foods over the last few years. They recently started offering a small variety of health and organic food items, which is a step in the right direction toward being socially responsible. They need to be more attentive to the needs and wants of their customers as it shouldn’t have taken years to bring in these demanded products. When there is a demand for products and the company doesn’t respond to that demand, it’s perceived by the consumers that the company simply doesn’t care about their needs and wants. Bringing in a selection of these products was a good start in satisfying their customers. However, with such a demand for these items, having a small and limited selection is just not enough. Expanding the line of health and organic food items will accomplish two things. First and foremost it will appease the current customers and bring in a new clientele that is health conscious, thus helping to create a healthier community and at the same time increasing sales. The higher margin on the health and organic items coupled with the increase in sales will really boost the overall profit margin of the company. Company Q does need to be sure that they don’t over price these products so as to not push away business due to overpricing.

The income over the last three years has been fluctuating.. This tells us the company has an initial growth period. Sales also drop between years 7 and 8 and the gross profit margin decreased as well. This may be due to operating expenses. This leads to the prospect of stable future sales. The stakeholders are continuing to back the company and the company does predict sales will remain stable. The modest increase in sales does not show enough to recover without making adjustments to free capital.

As mentioned in Appendix B-PEST, the customer’s income plays a huge role in selecting a product therefore if they decide to bypass fair trade products because of the premium price they can hold allot of buyer power, thus making buyer power in the industry high.

b. Uden Supply has projected its 2004 gross profit at 31% of sales despite expectation for some shrinkage in margins. On the basis of Uden’s operating performance in years 2001 – 2003 project your best guess for 2004. Project 2004 based on the incremental changes for each line item over the

* Buyers try to switch cost because of the same product available at other retail stores.

* Increase in sales and decrease in promotional costs for the introduction of the new product

The following is an analysis of the case, Greaves Brewery: Bottle Replenishment. It details the growing beer operation of Greaves Brewery located in the Caribbean island of Trinidad. The purchasing manager for the company, Alex Benson, is uncertain about how many bottles to order from the company’s German glass supplier. His decision is complicated by the possibility of a new bottle design being introduced that would compromise his existing inventory of bottles. Additionally, he is faced with storage limitations and erratic sales, all of which are impacting his decision. He is also concerned about over ordering to avoid issues from an

Smackey Dog Foods, Inc. is a relatively young and rapidly growing company. With sales growth that is far outstripping their competitors and expanding operations, the company is in a vulnerable period. The majority of small businesses go bankrupt within the first five years of operation, and the course that the Company follows now has the potential to be either beneficial or disastrous. As management is basing their decision expand on projections developed by the sales teem, the accuracy

The following is an analysis of the case, Greaves Brewery: Bottle Replenishment. It details the growing beer operation of Greaves Brewery located in the Caribbean island of Trinidad. The purchasing manager for the company, Alex Benson, is uncertain about how many bottles to order from the company’s German glass supplier. His decision is complicated by the possibility of a new bottle design being introduced that would compromise his existing inventory of bottles. Additionally, he is faced with storage limitations and erratic sales, all of which are impacting his decision. He is also concerned about over ordering to avoid issues from an off year, impact from

The results of my decisions that were made in 2015 Q2 turned out to be better than last quarter results. Existing customers increased by 9% and sales from new customers increased by 6%, while the distributors, on average, are attempting to achieve a 5% profit margin; overall not a bad turnover from prior quarters. These decisions led to segment A as being very satisfied reflecting how the motors’ high power to size ratio allowed them to pick up some new business from some loyal customers. Segment B was satisfied in this quarter like they have been in previous quarters, however they expressed their concern on future orders that they would like to receive more insight into the market trends by our staff. Segment C increased their overall satisfaction from prior quarters of being satisfied to very satisfied in this quarter. By getting the motors that they ordered to them in a rush, allowed them to land a contract from another GPO. However as the saying goes, “you can’t win them

Having retailers receive products at a discounted PTR and then not passing along the savings to consumers through a discounted PTC.  This retailer-related threat can also be prevented through including certain conditions that specify the obligation of the retailers to reduce prices for

Once made, these decisions constrain the range of strategic and tactical reactions available to MTC as it responds to changes in demand. For example, retail pricing and promotion decisions can be made closer to the time the Darth Vader doll appears in the market, but such decisions are constrained by the quantities already ordered and produced and the inventories already in place.