Question:
Portfolio Project
Comprehensive Decision-Making
Select your favorite drink or snack item manufactured by a publicly held company. The drink I chose is Died Mountain Dew, it is made by PepsiCo. For this product predict the following:
•Where is the product manufactured?
•Given the suggested retail price of the company and using a 50% markup on price at retail, determine the sell price to the distributor/merchandiser; if the product is sold direct to the consumer you may apply the gross margin as calculated. Review the company's overall gross margin. Applying the gross margin percentage to your product sales price, infer the cost of the product. Present your calculations in a supporting table included in your paper.
•Complete the same exercise for a competitor's product of the same type. Present your calculations in a supporting table included in your paper.
•Comment on the differences in cost between the two competitors, and assert the reason for this difference (e.g., does the company compete on cost or differentiation?)
•Develop a project for this company that will require the purchase of additional equipment, in a short-term decision-making scenario.
Research the cost of this equipment and develop an expectation regarding the cost savings for the company. Describe it fully and compute an incremental analysis for the company. Present your calculations in a supporting table included in your paper.