a. A particular product from a company divided by the total units or dollar sales for that product and its direct competition.
b.A particular product from a company divided by the total units or dollar sales for all the products sold by the company.
c. A ranking of the brands whose sales make up 80% of the total market for that product.
d. A ratio of the number of products a company sells divided by the number of products the competitor sells.
e. The total dollars or units combined for the top three or four companies in the market.
a. The strength of brand associations
b. The strength of brand image
c. The strength of brand loyalty
d. The strength of market share
e. Brand equity
a. To identify how the community, economy and natural environment interact in
order to create a sustainable business plan.
b. To fully understand the consumer decision making process and how they are
influenced by various inputs across the time period they are making the
decision to buy.
c. To identify primary and secondary trends in the external environment that a company needs to take into consideration when creating their marketing strategy.
d. To provide a strong relative market share increasing the ROI for the stakeholders of the firm.
e. To provide the customer with an full understanding of the impact of the company’s product on the environment.
c. Political regulation
e. Customer satisfaction
a. Is to find out the weakness of the competition.
b. Is too list all the competitors in your market
c. Is to chart relative market share rank against the concentration ratio for
competitors in the product category.
d. Is to identify strategic competitive advantages
a. Is the choice of which retail channel will be primary in the companies strategy for growth.
b. Used by the firm in writing its annual report to explain the position of the firm in the market and its current stock price.
c. A results of a scenario analysis
d. A statement of how to compare the product attributes of the brand against those of the competition in the mind of the consumer
e. Instructions to the retail channel member regarding the shelf position and categorization the product requires for maximum exposure to the consumer and high stock turnover.
a. Currency, inflation rate, and time
c. Level in the channel, market definition or scope, and time
e. Coupon rates
a. Strategic groups
b. Unmet needs
a. Availability of substitute products
c. Shareholder value
d. Cost/benefit analysis and customer service for the product.
a. Target markets are important so you know who will be allowed to buy the product.
b. The target market is the segment around which tactics are focused.
c. The target market has the highest income and is therefore the most profitable
d. The segment with the largest population.
e. The target market is defined by demographic variables
a. Target segment
c. Product Category
d. Strategic uncertainty
External trends are external to the company and impact whole industries or even broader. E.g. global warming – Yes; increasing sales in recycled Patagonia polarfleece – No / Increasing trend toward concern about product impact on health – Yes; starbucks new low-fat latte – No). 1 pt each.
e.g. Category – Beverages; Trend – Health impact concerns; — Uncertainty – Total calories per serving is largely a function of sugar content, but many consumers are wary of sugar substitutes, should the product be ‘all natural’ or ‘low calorie”?
Top Left- High impact; Low immediacy
Top Right- High immediacy
Bottom Left- Low impact; Low immediacy
Bottom Right- Low impact; High immediacy
Dell $ 800,000
What is the market share for each company (you must show the formula)? (6 pts)
Lenovo $400,000 / $6,000,000 = .06666 or 6.67%
HP $2,500,000/ $6,000,000 = .41666 or 41.67%
Dell $800,000/$6,000,000 = .13333 or 13.33%
Mac $1,200,000/$6,000,000 = .2 or 20%
Toshiba $100,000/$6,000,000 = .01666 or 1.67%
Samsung $1,000,000/$6,000,000 = .16666 or 16.6%
Lenovo / HP = $400,000 / $2,500,000 = .16 or 16%
Samsung/ HP = $1,000,000/ $2,500,000 = .4 or 40%
First: Calculate units sold by dividing company sales (from Q 25) by average cost per unit (Q 27).
Units sold = Company Revenue/Average Unit cost
Lenovo $400,000/$400 = 1000 units sold
HP $2,500,000/$3,500 = 714 units sold
Dell $800,000/$750 = 1066 units sold
Mac $1,200,000/$5,000 = 240 units sold
Toshiba $100,000/$350 = 285 units sold
Samsung $ 1,000,000/$1,200 = 833 units sold
4138 total units
Second: Calculate Unit Market Share by dividing the total units sold per company by total category units sold. Unit market share = company units sold/total units sold
Lenovo 1000 units sold/4138 units = .24166 or 24.17%
HP 714 units sold/4138 units = .17255 or 17.26%
Dell 1066 units sold/4138 units = .25761 or 25.76%
Mac 240 units sold/4138 units = .05799 or 5.8%
Toshiba 285 units sold/4138 units = .06887 or 6.89%
Samsung 833 units sold/4138 units = .20130 or 20.13%
Lenovo/HP = 1000 units/714 units = 1.4005 or 140.5% Samsung/HP= 833 units/714 units = 1.1666 or 116.7%
1. HP 41.67%
2. Mac 20%
3. Samsung 16.67%
4. Dell 13.33%
5. Lenovo 6.67%
6. Toshiba 1.67%
Unit Market Share
1. Dell 25.76%
2. Lenovo 24.17%
3. Samsung 20.13%
4. HP 17.26%
5. Toshiba 6.89%
6. Mac 5.8%