scope - case study solution

Table of Contents

Section/ Title Page

Front Cover………………………………………………………….....

Table of Contents…………………………………………………...... II

Section I: Organization’s Business, Mission, and Goals……… 1

1.1) Business Definition……………………………………... 1

1.2) Business Mission………………………………………... 1

1.3) Business Goals (Production, Financial and Marketing)… 1

Section II: Organizational Growth Opportunities…………….. 2~4

2.1) Environment Opportunities……………………………... 2

2.2) Distinctive Competencies……………………………….. 2

2.3) Success Requirement…………………………………… 2

2.4) SWOT Analysis Framework……………………………. 3-4

Marketing Mix Analysis……………………………. 5~6

a) Product Strategy………………………………………… 5

b) Price Strategy……………………………………………. 5

c) Channel Strategy………………………………………... 5

d) Communication Strategy………………………………... 5-6

Section III: Product- Market Strategies………………………... 7~8

3.1) Market Penetration……………………………………… 7

3.2) Market Development Strategy………………………….. 7

3.3) New Offering Development…………………………….. 7-8

3.4) Diversification…………………………………………... 8

3.5) Decision Tree…………………………………………… 8

Section IV: Budgeting…………………………………………… 9~10

4.1) Financial Budget (Pro Forma income statement)……….. 9

4.2) Operating Budget……………………………………….. 10

4.3) Special Budget………………………………………….. 10

Section V: Marketing Audit…………………………………….. 11~12

5.1) Strategic Aspects……………………………………….. 11

5.2) Operational Aspects…………………………………….. 11

5.3) Recommendations………………………………………. 11-12

Section VI : Latest Development……………………………….. 13

Reference………………………………………………………………. 14

Appendices…………………………………………………………….. 15~20

BMR3134 – STRATEGIC MARKETING Page 1

Section I: Organization’s Business, Mission, and Goals

1.1) Business Definition

Scope is positioned as a mouth refreshing brand and was the first brand in the market to offer

effective protection against bad-breath and a good taste at the same time and marketed by Procter &

Gamble, Inc.

1.2) Business Mission

Provide branded products and services of superior quality and value that improve the lives of the

world’s consumers, now and for next/ future generations.

In return, consumer will reward with leadership sales, profit and value creation, allowing people,

shareholders and the communities in which live and work to prosper.

1.3) Business Goals

Production Objectives

To achieve a brand that must be seen as different enough/ unique from the competition to build

incremental purchases.

Financial Objectives

To achieve leadership share and profit positions and that, as a result, stakeholder wealth; such as,

business, public, employees, shareholders, creditor and the communities will prosper.

Marketing Objectives

Increase the market share, sales volume, and profits for Scope; consequently, to achieve the brand

loyalty and brand preference among the consumers. Besides, Scope marketing objective is to make

sure the brands is addressing the consumer in a way that will cause top-of-mind awareness for

Scope.

PROCTER & GAMBLE, INC. - SCOPE Tri 2, 2012


Section II: Organizational Growth Opportunities

2.1) Environment Opportunities

Social-Cultural Force

Consumers indicate that they buy the product to solve the socially related problem of ‘Bad Breath’

and that mouthwash products are part of their basic oral hygiene.

Regulatory Forces

In Canada it is possible to apply for a ‘seal of recommendation’ of the Canadian Dental Association.

The CDA will decide whether or not they approve the application by investigating the medical

effects of the substance. Hence, it is evidence that Scope have the opportunity to gain endorsement

from CDA.

2.2) Distinctive Competencies

Market Share Leadership

Scope was long experience in the oral hygiene industry since 1967. It became market leader in 1976

and since then it had been enjoying largest market share in Canadian mouthwash market. Scope is

positioned as a mouth refreshing brand and was the first brand in the market because it offered

effective protection against bad-breath and a good taste at the same time. Also, Scope great strength

in the food stores, which is 42 percent (for example, supermarkets).

Great Taste and Makes Breath Fresh

Scope was the first brand that offered both effective protection against bad breath and a better taste

than other mouthwashes. The taste/ flavor of Scope had positioned better than other mouthwashes.

Scope advertising focused, “Scope fights bad breath. Don’t let the good taste fool you.”

2.3) Success Requirement

Ability to maintain or continued of produce high quality product that P&G customers expect and to

gain in the hypercompetitive market. Besides, Scope also needs to maintain hold in market.



2.4) SWOT Analysis

Internal

Factors Strengths Weaknesses

External Factors Opportunities Threats

Management

Economic

Marketing

Competition

Manufacturing

Consumer

R&D

Technology

Finance

Legal/Regulatory

Offerings Industry/Market Structure

Based on the above Exhibit 2.0 outlines the SCOPE’s SWOT analysis framework depicting

representative entries for internal strengths and weaknesses and external opportunities and threats.

Internal Factors

i. Strengths

Management – Fill in management depth. Scope is a health care product of P&G. Scope has its own

brand management, sales, finance, product development PDD and operations management groups.

Besides, Scope gets a great strength in the food stores among competitor.

Marketing – P&G known to provide products that fulfill consumer needs at superior quality and

value. Nevertheless, Scope has a first rating in mouthwash market share.

Finance – Scope strength in financials (costs) and retail prices.

ii. Weaknesses

Manufacturing – Higher overall production costs relative to key competitor (Plax)

R & D – Poor track record in bringing innovations to the marketplace. For examples, Scope’s

product development had recently developed a new prebrushing rinse product that performed as

well as Plax but did not work any better than Plax against plaque reduction.

Offerings – Too narrow a product line. Scope does only offer one benefit that is reduces bad breadth

with a good taste.

Exhibit 2.0 - SWOT Analysis Framework of Scope



External Factors

iii. Opportunities

Economic – Consumer income is quite high.

Technology – Scope can use the advance of technology for enhancing the production; like using

computer operated machineries which are fully automated. By this, Scope can reduce the labor costs

indeed. But also can using Internet to developing a new market.

iv. Threats

Competition – Increased competition (Listerine, Listermint, Cepacol, Plax, and other store brands),

while competitors are introducing more benefits. For instances, before the entry of Plax, brands in

the mouthwash market were positioned around two major benefits that are fresh breath and killing

germs; whereas, Plax was positioned around a new benefit as a plaque fighter and claims Plax

removes up to three times more plaque than just brushing alone.

Consumer – Growing preference for benefit mouthwash, mouthwash market is increasing everyday;

Scope is known for taste and fresh breath, due to the market (consumer trend) is moving towards

health-related mouthwashes. It means consumer now focused on health benefits.

Legal/ Regulatory – The regulation of product-testing and labeling had increased in Canada. There

are some organizations like Health Protection Branch (HPB) and The Canadian Dental Association

(CDA); they have some requirements to pass their standard or nomination. For instance, P&G did

not have a clinical database to convince the HPB to allow Scope to extend these claims into the

prevention of inflamed gums (as Listerine does).

Industry/ Market Structure – Low-entry barriers for new competitors, hence, it shows a threat to

Scope. But also too many competitors in this industry; this shows a direct treat towards Scope.



Marketing Mix Analysis

a. Product Strategy

Scope basically is considered as product-oriented in the mouthwash marketplaces which are under

personal care - health care industry. In other words, Scope was the mainly primary product where to

serve on customers who helped to remove bad-breath protection. The product called; “Scope fights

bad breath. Don’t let the good taste fool you.” Scope became the market leader in Canada.

Furthermore, Scope is provided enhancement in term of taste; Scope are just not available in

original mint flavor (green), but also new flavors such as peppermint (blue), cinnamon (red), citrus

(orange), and new Scope White. See Picture A. Apart from that, entry of scope in product strategy

also positioned its products into long lasting of mint-tasting mouthwash product and refreshing

brand to attract customers purchase intention in first mover compared to others mouthwash products,

significantly, it shows that Scope has capable to compete with others similar mouthwash products in

health care line.

b. Price Strategy

Scope is implementing price penetration strategy to launch its superior products to specific

countries. The pricing indicates the location of stores derived from food and drug stores

significantly. The prices of Scope are slightly lower in food store as compared to drug store due to

the numbers of users and the effectiveness of advertising significantly. In other words, the prices set

by Scope are based on the countries itself whereby the numbers of buyers and customers

preferences have bring the great impact on products pricing.

c. Channel Strategy

Scope significantly holding their market share through several distribution channels whereby their

Scope products will be displayed on food stores, supermarkets, drugstores. Primarily, wholesaler

Clubs (Price Club) also tend to be carried Scope products in order to strengthen the market share

through different distinctive places. Needless to say, food store has highlighted the attraction of

using Scope to mouthwash functions after having dishes. Whereas, Drug stores also another

effective distribution channels where, it get rid of those drug seekers bad breath after drug.

d. Communication Strategy

Scope communication strategy can be divided into two, which is, advertising and sales promotion.

Scope is perceived customers attention by advertising focused. Scope has a strong invest on



Television advertising and advertisement. TV advertisement target mass of audience and it focused

on the main product benefits of Scope. For instances, “Scope fights bad breath. Don’t let the good

taste fool you.”

Scope’s sales promotion is Free Samples of Scope mouthwash, Scope used free sample is to make

consumers try the new product and increase sales among the users as well as attract new consumers

to buy Scope new product. Furthermore, Scope also used Mailed couponing to attract more

consumers and gain market share. It means, when you sign up a member of P&G- Scope; you will

receive exclusive offers. Nevertheless, In-store Promotion is also one of the important promotion

tools for Scope. The point of using in-store promotion is that the product needs to be seen by

consumers, but also directly attract customer’s attention. Nonetheless, by using in-store promotion

Scope can easily attracting new consumers. This is for sure.



Section III: Product- Market Strategies

3.1) Market Penetration Strategy (Existing Offerings → Existing Markets)

Scope had applied the market penetration strategy, by applying this strategy Scope no effort to be

wasted in researching possible opportunities. Scope target market will be fresh breath, while major

competitor – Plax is focused on health benefit. Therefore, Scope spend more aggressive on

advertising and add new flavor; such as, citrus, peppermint, cinnamon and new Scope White with a

high-quality product.

We would not recommend Scope continuously engages market penetration strategy; due to the

market share for Scope has declined. Growth opportunities will either come from new products and

benefits or taking market share from competitor. Therefore, suppose Scope will do nothing there is

a possibility to lose market share in the next few years indeed.

3.2) Market Development Strategy (Existing Offering → New Markets)

Market-development strategy dictates that an organization introduces its existing offerings to

markets other than those it is currently serving. In the case, Scope engaged in a market development

strategy when it entered Canada and United States.

We recommend Scope could implement market-development strategy due to generate additional

volume in a new market segment while allowing Scope to maintain its current position in the fresh

breath and great taste segment. Scope can think more for the U.S. market than the Canadian market.

Due to Scope already the leader in Canadian market while the U.S. market is led by Listerine.

Nonetheless, Scope can investment more advertisement at U.S. market in order to achieve as a

market leader at U.S.

3.3) New Offering Development Strategy (New Offerings → Existing Markets)

Scope has engaged new-offering development strategy – launching a line extension. Which is new

flavored mouthwashes and “pre brush” rinse product, due to Scope believed it will maximize

profitability of the Scope’s brand. Scope also lowering its prices on Scope for attract consumer to

buy Scope’s product.

Yes, in most ways than not, I would strongly recommend Scope to implement new-offering

development strategy to satisfy customers wants. The major reasons are the market share for Scope

has declined in last year and the industry seems to be maturing. The new product could be launched

by using the Scope brand name. Scope is a well-known brand on the mouthwash market. Scope can



be used an innovation - could be implemented by trying to create a new dimension of performance

which includes the process of making an improvement of the product available. P&G should also

attempt to gain the seal of approval from the CDA. This would help increase sales because the

market is shifting more towards health-related issues. Moreover, Scope should be sales at food

stores, and wholesale clubs but most important should be an increased effort to have strong sales in

the drug store segment of the market. Due to the drug stores are responsible for 65 percent of the

market sales and by increasing its presence in this area, consequently, it is evidence, Scope has

great potential to increase sales.

3.4) Diversification Strategy (New Offerings → New Markets)

Scope does not have adopted this strategy. We not recommended Scope to adopt this strategy; due

to diversification is often a high-risk strategy because both offerings and market served are new to

the Scope. And diversification should not be introduced because it could not only incur a high of

capital and marketing costs but also cause confusion to the consumer.

3.5) Decision Tree

The decision tree shows that the highest profits (expected of profit $2 million) will result if Scope

new offering-development strategy is enacted and competitors react passively. Introducing a

product line extension and product innovation under the current Scope brand name is the best

strategic option. This will enable P&G achieve profit positions and reap the benefits of their

establish brand name from different consumer needs, without losing traditional Scope brand and

market share. For the most important, the new product Scope launch should offer more benefits/

unique then the competing mouthwashes to build incremental purchases! For instances, offer

multiple benefit such as; prevents cavities, prevents gingivitis, reduces bad breath, germ killing

ingredients, plaque removal as well as good taste fool you; that is 6in1=Scope.

Action Response Outcome

Market Development

Strategy

New Offering

Development Strategy

: Aggressive Competition

: Passive Competition

: Aggressive Competition

: Passive Competition

: Estimated profit of $ 0.8million

: Estimated profit of $1million

: Estimated profit of $1.5 million

: Estimated profit of $2 million



Section IV: Budgeting

4.1) Financial Budget

PROCTER & GAMBLE, INC - SCOPE

Pro Forma Income Statement

For the Years Ended November 30

2015 2014 2013

Scope volume (Units)(000) 465 464 463

$(000) $(000) $(000)

Sales 33,480 32,944 32,410

COGS 17,828 17,446 17,066

Gross margin 15,652 15,498 15,344

Marketing expenses

Advertising 3,559 3,455 3,355

Sales Promotion 3,057 2,968 2,881

Total Marketing Expenses 6,616 6,423 6,236

General and administrative expenses

Depreciation on building and equipment 400 400 400

Labor 500 1,000 1,500

900 1,400 1,900

Total Contribution 8,136 7,675 7,508

Less: Fixed Costs 6,146 6,027 5,908

Net Profit before (income)tax 1,990 1,648 1,600

*We estimated that Scope total units sold will increase 1,000units starting from 1990. Refer (Appendices)

*We estimated that Scold price per will increase 2percent for every year starting from 1990. Refer (Appendices)

*Labor costs will reduce due to the advance of technology.



4.2) Operating Budget

Scope Cost of Goods Sold (2012NOV- 2015NOV)

2015 2014 2013

$/Unit $/Unit $/Unit

Cost of Goods Sold

Ingredients 17.57 17.23 16.89

Packaging 8.86 8.69 8.52

Manufacturing 5.74 5.63 5.52

Delivery 5.12 5.02 4.92

Miscellaneous 1.05 1.03 1.01

Total 38.34 37.60 36.86

Scope Fixed Costs (2012NOV – 2015NOV) 2015 2014 2013

Fixed Costs $(000) $(000) $(000)

General Office 2,241 2,197 2,154

Manufacturing 2,526 2,478 2,428

Miscellaneous 1,379 1,352 1,326

Total 6,146 6,027 5,908

4.3) Special Budget

Scope Marketing Plan Inputs

Scope “Going” Marketing Spending (2012NOV – 2015NOV)

Year 2015 2014 2013

Advertising $(000) $(000) $(000)

TV ads 1,779 1,727 1677

Radio 890 864 839

Print ads 890 864 839

3,559 3,455 3,355

Sales Promotion

Contest 509 495 480

Samples 1,019 989 960

Coupons 510 495 481

Demonstrations 1,019 989 960

3,057 2,968 2,881

Total Marketing Expenses 6,616 6,423 6,236

*We estimate that for every year Scope’s Fixed Cost will increase 2percent; starting from 1990. Refer (Appendices)

*We estimate that for every year Scope’s Special Budget of Marketing expenditure will increase 3percent starting from

1990. Refer (Appendices)

*We estimated that for every year Scope’s COGS will increase 2percent starting from 1990. Refer (Appendices)



Section V: Marketing Audit

5.1) Strategic Aspects

Yes in most ways than not, but we say YES that Scope not doing the right thing. Based on the case

we know that consumer trend is moving towards health-related mouthwash but Scope only offers

great-taste and mouth refreshment. Besides, Plax-competitor entered the market positioned around a

new benefit - plaque fighter and focused on health-benefit. And this leads the market share for

Scope has declined. Also, Scope does not enough make a distribution channel. Hence, growth

opportunity will either come from new products and benefits. So, Scope management need a change

and they need to take a decision from their available alternative in order to achieve the market share.

5.2) Operation Aspects

Based on the case it shows that Scope are not doing things right. Because Scope’s product

development/ R&D not able to develop or offer a new product which is work better than what the

competitor do- Plax. Hence, before Scope launch a new product, Scope’s R&D needs to understand

the market very well what the current market trends, what the competitor do and just decides or

choices the best ways which can help Scope to gain more profit and remain as a market leader share

among competitor.

5.3) Recommendations

We recommend that Scope should take the same familiar taste in combination with ingredients to

obtain health benefits in their new offering by used the new offering-development strategy in order

to meet the needs of the other customers. And we strongly recommend Scope used the new

offering-development strategy. That is introducing of a new product that offers more benefits under

same brand name.

First and foremost, P&G should attempt to gain the seal of approval from Canadian Dental

Association. This would help increase sales due to; the market is shifting more towards health-

related issues. For instance, Scope could add germ killing additives that reduces plaque and apply

for a CDA approval seal.

Nevertheless, Scope should also distribute this new offering product to food stores, drug stores and

wholesale clubs. But, Scope should be an increased effort to have strong sales in the drug store. Due

to, around 65percent of mouthwash sales through drug store, consequently, by increasing in the

drug store, Scope has a great potential to increase the sales indeed.



Moreover, Scope should need to explain, inform, persuade the market to buy Scope’s new offering

product through communication channel such as advertise the new offering through TV, radio and

Print Ads. But also, demonstrate the product in major drug store chain, sample, contest, and coupon.

The main purpose is to make consumers try the new offering and increase the sales of the current

users as well as attract new customers to buy this new offering.

Moreover, through technology advance Scope could improving production by upgrading

technology, for instance, using computer operated machineries which are fully automated. So, it is

evidence that through using the technology Scope can reduce the labor cost. This is for sure and

unquestionable. Nevertheless, we also recommend Scope upgrading the technology.



Section VI : Latest Development

Scope Mouthwash as an important Oral Hygiene Tool

Scope Dual-Blast mouthwash

Breathe easy with new products that help eliminate garlic and onion-breath. Scope introduced its

latest collection of products featuring new Dual-Blast technology, which helps eliminate strong

food odors, especially onions and garlic, while killing bad breath germs. Scope Dual-Blast

mouthwash helps give consumer the confidence to enjoy favorite foods without having to worry

about bad breath (Picture B). Besides, that has two flavors under Scope Dual-Blast mouthwash

which are Fresh Mint Blast and Icy Mint Blast.

Scope Outlast Minibrush

One of the Scope’s latest development products is their Scope Outlast Minibrush (Picture C). The

unique brush requires no water consequently; you can have fresh breath whenever you need it. The

small brush contains Scope Outlast gel. The brush features are high quality bristles, it can also be

used as a tongue brush and includes an interdental pick. Therefore, the minibrush is perfect for after

lunch, dates and before meeting or other social events.

Scope Outlast Breath Mist

Scope Outlast breath mist, long lasting peppermint and mint is the flavor. It is fresh breath any time;

it is fat free and sugar free. Scope Outlast Breath Mint uses the same Outlast technology as Scope

Outlast Mouthwash to deliver a refreshing blast of Scope flavor. The convenient bottle easily

attaches to a keychain and stashes away in your purse, luggage, or pocket for kissable, fresh breath

on the go (Picture D).



Reference

Cravens, D.W; Lamb, C.W.Jr. and Crittenden, V.L., (2002). Strategic Marketing Management, Cases, 7th

Edition, Mc-Graw Hill & Irwin.

Scope, Courage encouraged, Portal & Gamble (2012). Online Available: http://www.scopemouthwash.com/

Scope, Product Health and Wellness, Portal & Gamble, (2010). Online Available:

http://www.pg.com/en_CA/product_card/hw_scope.shtml

Scope Mouthwash. Facebook (2010). Online Available: https://www.facebook.com/scopemouthwash

http://www.scopemouthwash.com/

http://www.pg.com/en_CA/product_card/hw_scope.shtml

https://www.facebook.com/scopemouthwash



Appendices

Picture A: Scope product

Picture B: Scope Dual-Blast mouthwash



Picture C: Scope Outlast Minibrush

Picture D: Scope Outlast Breath Mist



Appendices - Budgeting

Scope units sold in 1990 were 440,000 and Sales per unit were $44.10

Scope unit Sold Sold Sales/ units

YEAR Unit Sold

YEAR Price/unit

1990 440000

1990 44.1

1991 441000

1991 44.982

1992 442000

1992 45.88164

1993 443000

1993 46.79927

1994 444000

1994 47.73526

1995 445000

1995 48.68996

1996 446000

1996 49.66376

1997 447000

1997 50.65704

1998 448000

1998 51.67018

1999 449000

1999 52.70358

2000 450000

2000 53.75765

2001 451000

2001 54.83281

2002 452000

2002 55.92946

2003 453000

2003 57.04805

2004 454000

2004 58.18901

2005 455000

2005 59.35279

2006 456000

2006 60.53985

2007 457000

2007 61.75065

2008 458000

2008 62.98566

2009 459000

2009 64.24537

2010 460000

2010 65.53028

2011 461000

2011 66.84089

2012 462000

2012 68.1777

2013 463000

2013 69.54126

2014 464000

2014 70.93208

2015 465000

2015 72.35072



Cost of Goods Sold

Scope Cost of Goods Sold 1990 year

Product Line Extension

Adjustments

$(000) $(000) $/ Unit $/ Unit $/Unit $/Unit

Net Sales (440,000units) 18,150 41.25 44.10

Ingredients 3,590 8.16 *10.71

Packaging 2,244 5.10 *5.40

Manufacturing 1,540 3.50 3.5

Delivery 1,373 3.12 3.12

Miscellaneous 280.5 0.64 0.64

Cost of Goods Sold (9,027.5) (20.52) (16.11)

Gross Margin 9,122.5 20.73 27.99

Scope Cost of Goods Sold

YEAR Ingredient

YEAR Packaging

YEAR Manufacturing YEAR Delivery

YEAR Miscellaneous

1990 10.71

1990 5.4

1990 3.5

1990 3.12

1990 0.64

1991 10.9242

1991 5.508

1991 3.57

1991 3.1824

1991 0.6528

1992 11.1427

1992 5.61816

1992 3.641

1992 3.246

1992 0.665856

1993 11.3655

1993 5.73052

1993 3.714

1993 3.311

1993 0.67917312

1994 11.5928

1994 5.84513

1994 3.789

1994 3.3772

1994 0.692756582

1995 11.8247

1995 5.96204

1995 3.864

1995 3.4447

1995 0.706611714

1996 12.0612

1996 6.08128

1996 3.942

1996 3.5136

1996 0.720743948

1997 12.3024

1997 6.2029

1997 4.02

1997 3.5839

1997 0.735158827

1998 12.5485

1998 6.32696

1998 4.101

1998 3.6556

1998 0.749862004

1999 12.7994

1999 6.4535

1999 4.183

1999 3.7287

1999 0.764859244

2000 13.0554

2000 6.58257

2000 4.266

2000 3.8033

2000 0.780156429

2001 13.3165

2001 6.71422

2001 4.352

2001 3.8793

2001 0.795759557

2002 13.5829

2002 6.84851

2002 4.439

2002 3.9569

2002 0.811674749

2003 13.8545

2003 6.98548

2003 4.528

2003 4.0361

2003 0.827908243

2004 14.1316

2004 7.12519

2004 4.618

2004 4.1168

2004 0.844466408

2005 14.4142

2005 7.26769

2005 4.711

2005 4.1991

2005 0.861355737

2006 14.7025

2006 7.41304

2006 4.805

2006 4.2831

2006 0.878582851

2007 14.9966

2007 7.5613

2007 4.901

2007 4.3688

2007 0.896154508

2008 15.2965

2008 7.71253

2008 4.999

2008 4.4561

2008 0.914077598

2009 15.6024

2009 7.86678

2009 5.099

2009 4.5453

2009 0.93235915

2010 15.9145

2010 8.02412

2010 5.201

2010 4.6362

2010 0.951006333

2011 16.2328

2011 8.1846

2011 5.305

2011 4.7289

2011 0.97002646

2012 16.5574

2012 8.34829

2012 5.411

2012 4.8235

2012 0.989426989

2013 16.8886

2013 8.51526

2013 5.519

2013 4.9199

2013 1.009215529

2014 17.2264

2014 8.68556

2014 5.63

2014 5.0183

2014 1.02939984

2015 17.5709

2015 8.85927

2015 5.742

2015 5.1187

2015 1.049987836

*Product Line Extension Adjustments

Ingredients = +2.55(+/-50%)

Packaging = +0.30



Fixed Costs

Scope Fixed Cost 1990

Fixed Costs

General Office 1,366

Manufacturing 1,540

Miscellaneous 841

Total Fixed Cost 3,747

Fixed Costs YEAR General Office

YEAR Manufacturing

YEAR Miscellaneous

1990 1366

1990 1540

1990 841

1991 1393.32

1991 1570.8

1991 857.82

1992 1421.1864

1992 1602.216

1992 874.9764

1993 1449.610128

1993 1634.26032

1993 892.475928

1994 1478.602331

1994 1666.945526

1994 910.3254466

1995 1508.174377

1995 1700.284437

1995 928.5319555

1996 1538.337865

1996 1734.290126

1996 947.1025946

1997 1569.104622

1997 1768.975928

1997 966.0446465

1998 1600.486714

1998 1804.355447

1998 985.3655394

1999 1632.496449

1999 1840.442556

1999 1005.07285

2000 1665.146378

2000 1877.251407

2000 1025.174307

2001 1698.449305

2001 1914.796435

2001 1045.677793

2002 1732.418291

2002 1953.092364

2002 1066.591349

2003 1767.066657

2003 1992.154211

2003 1087.923176

2004 1802.40799

2004 2031.997295

2004 1109.68164

2005 1838.45615

2005 2072.637241

2005 1131.875273

2006 1875.225273

2006 2114.089986

2006 1154.512778

2007 1912.729779

2007 2156.371786

2007 1177.603034

2008 1950.984374

2008 2199.499221

2008 1201.155094

2009 1990.004062

2009 2243.489206

2009 1225.178196

2010 2029.804143

2010 2288.35899

2010 1249.68176

2011 2070.400226

2011 2334.12617

2011 1274.675395

2012 2111.80823

2012 2380.808693

2012 1300.168903

2013 2154.044395

2013 2428.424867

2013 1326.172281

2014 2197.125283

2014 2476.993364

2014 1352.695727

2015 2241.067788

2015 2526.533231

2015 1379.749641



Marketing Spending

Scope Marketing Spending Year 1990 were $3,160

Which is advertising $1,700 and Promotion $1,460

YEAR Advertising YEAR Promotion

1990 1700

1990 1460

1991 1751

1991 1503.8

1992 1803.53

1992 1548.914

1993 1857.6359

1993 1595.3814

1994 1913.365

1994 1643.2429

1995 1970.7659

1995 1692.5401

1996 2029.8889

1996 1743.3164

1997 2090.7856

1997 1795.6158

1998 2153.5091

1998 1849.4843

1999 2218.1144

1999 1904.9688

2000 2284.6578

2000 1962.1179

2001 2353.1976

2001 2020.9815

2002 2423.7935

2002 2081.6109

2003 2496.5073

2003 2144.0592

2004 2571.4025

2004 2208.381

2005 2648.5446

2005 2274.6324

2006 2728.0009

2006 2342.8714

2007 2809.841

2007 2413.1575

2008 2894.1362

2008 2485.5523

2009 2980.9603

2009 2560.1188

2010 3070.3891

2010 2636.9224

2011 3162.5008

2011 2716.0301

2012 3257.3758

2012 2797.511

2013 3355.0971

2013 2881.4363

2014 3455.75

2014 2967.8794

2015 3559.4225

2015 3056.9158

scope - case study solution

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