As the VP of International Marketing, you are trying to estimate the sales your company

might achieve with its entry into a new market. Using the data provided:

# of competitors 4

total # of competitor's products 4 (one each)

total # of competitor's salespeople 20

total advertising and promotional expenditures last year by all competitors $5 MM

average competitor price/unit $800

size of market in units last year 100,000

annual market growth rate 20%

# of your company salespeople 2

your company promotional budget for product launch $1 million

your price/unit $700

your profit margin per unit $280

Annual cost of a salesperson $250,000

Estimate what you might reasonably expect to sell in units and dollars the first year. Explain how you arrived at your answer including any assumptions you made.