Business Studies

posted by .


I'd like someone to check explain me the following questions related to the text and how to find them out

The following text :

The ARC company produces and sells cosmetics for women and girls. The company is owned by a brother and sitser who originally wanted to earn more money than they could in their old jobs. Although profitable sales have been falling recently. This is causing many stakeholder groups to worry about the future of the business. However the owners are keen for the business to continue and become more successful. sales are falling due to new compettion in the market with exiting new products. So ARC must cut production costs to survive. The company has brought new manufactoring equipment which is much more specailised. As a result fewre workers are neede but this has caused workers to become unhappy with the now boring jobs they have to do. Some workers have now left and this has caused a problem in meeting production targets with ARC being unable to supply some of the retailers who sell their products.

The marketing director is keen to increase the value added of the cosmetics. One product - the Bella prefume - currently sells for $7. It is made from soap bought in by the business at a cost of $2 per item. The director beleives that b y desgining a new luxary packaging for the product added value could be increased.

1- How do the businesses objectives appear to have changed ?

2- Assume the marketing director bought in new packaging at an additional cost of $1 for each item sold. She increases the selling price by 20%. Calculate the new value added of this product.

3- Evaluate one alternative method that the marketing director could use to increase the value added of this product

I've written my answers and I'd like someone to check if they are right as soon as possible

Anwer 1 :

The businesses objectives appear to have changed as the profit has decreased because the company was very keen at the start. But the competiton between products has led the sales to decrease as not many people might buy from the ARC company. The ARC has changed as they have to cut of costs. this is because they need to survive as the economy has moved into recession , and the business is more concerned with survival than anything else even though the profil will be lower.

Answer 2 - The added value will be $11

Answer 3 - The director can offer a gift 0 wrapping service for the perfume so this added feature will add more costs to the compmany but a much bigger added value

Are my anwers right , should i include anymore or is it fine


please help


Respond to this Question

First Name
School Subject
Your Answer

Similar Questions

  1. Business Education

    Explain what is meant in word processing by text wraparound. Its a text display feature of most word processing programs. Text that will not fit on one line will be automatically moved to the next line. (So, the text becomes easily …
  2. Business Studies

    HI I'd like someone to check explain me the following questions related to the text and how to find them out The following text : The ARC company produces and sells cosmetics for women and girls. The company is owned by a brother and …
  3. business

    Brifly explain the concept of SWOT analysis.Then , with reference to Text 4.3, answer the following questions in detail and cite examples and relevant sections from the text. 1. What information is included in the introductory sentence?
  4. math

    Week 4: Exercises from E-Text 12. Individual Assignment: Exercises From the E-Text Due 7/12/10 • Resource: Applied Statistics in Business and Economics • Prepare answers to the following exercises from the Applied Statistics in …
  5. english

    I'm doing an analysis on a class text and a self chosen related text and one of the things the sheet says to do is to identify and define the context of my related text. What does this mean?
  6. college english -- rhetorical analysis of an ad

    my homework is to find an advertisement, website or magazine cover that is rhetorically interesting and persuasive. we have to write an essay analysis of 2 pages to show how the text works to persuade its audience. consider the following …
  7. microsoft office aplication-computers

    what is an advantage of inputting text on a slide via a text in powerpointx a )any font can be selected within a text box b)text within a text box can be formatted by color or style c)you can position the text anywhere on the slide …
  8. IT 235

    Post your response to the following questions: For which types of image creations might it be beneficial or necessary to add text?
  9. masterin quantum

    Consider the left shift operator on the space of infinite sequences of complex numbers: L(z1,z2,…)=(z2,z3,…). Is L injective?
  10. Calc/Physics

    Find the following questions at the depth of 25\text{m}. The gravitational acceleration is g = 9.8\text{m/s}^2 and the density of water is \rho = 1000\text{kg/m}^3. a. Find the hydrostatic force on a square steel plate with sides 2\text{m} …

More Similar Questions