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Posted on Sep 16, 2024

Q1. Chico Cosmetics Company is estimating market sales potential effective demand) and sales/profit forecasting on its new anti- aging cream for the U.S. mature female

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Q1. Chico Cosmetics Company is estimating market sales potential effective demand) and sales/profit forecasting on its new anti- aging cream for the U.S. mature female consumers. The information given is: - Group 1: The U.S. female population aged between 45-64 years: See the Census table below Group 2: The U.S. female population aged 65 years and over: See the Census table below 20% of Group 1 use anti-aging cream and the average amount consumed per person per year is 1.2 jars 25% of Group 2 use anti-aging cream and the average amount consumed per person per year is 1.5 jars The average price per 1g of anti-aging cream is $1 and average size of a jar of anti-aging cream is 50g. - Chico Cosmetics Company's info: Target market: 30%, Distribution Communication coverage: 70% a) Use 'chain ratio method (See Kerin's Ch. 4)' and your logics/rationales to calculate market sales potential (units and S) of the market in 2018. If any information you think needed is not provided, use rational/logical estimates. (5 pts.) b) Estimate Chico Cosmetics Company's sales forecast (units and $) in 2018 for its anti-aging cream. (5 pts.) c) Would you launch the product in 2018? Explain your rationale. (5 pts.) Tn- No information related to wriable costs or the nichert uit sollino nrice is given Do the simnie mimorir value mahisis. Table 1. Population by Sex and Selected Age Groups: 2000 and 2010 2010 Sex and selected age groups www2000 Num Change, 2000 to 2010 Num Percen Num Percent Perced 308,745,538 100 27,323,631 9.7 151,781,3261 156,984,2121 13.727,76 13,595,86 5 9.5. Total population 281,421,90 100 SEX Male 138,053,583 Female 143,368,343 5 5 SELECTED AGE GROUPS Under 1 year .22.293.31 2 Under AS 19.175.79 23 5.10.17 years -53_118.01 18t44.ca 112.183.709 3 18.10.24 years 27.143.45 9.8. - 25.0-44 years 85040.25 3 45.tn. 4. MAAR R1952.13 ..2 2 85 years and over 34.991,75 1 16 years and over 217.149,1271 7 1 year and oxel 209.128.094. 7. 7 wataadavet 196.199.193 Z 82 years and over 41.256,02 Sources: W& Census Bureau. Census 2000 Summary File 1 and 2010 Census Summary File & . 2.6 53 1.6 .24.181.400 20.201.36. 53.980.10 112.806.642 30.472.08 82.134.55 AL4A 44 40 267,98 243,275,505 LARZA 1.425.5. ..882 622 31.52A. 13.Q. 2.5. -1 3 9.9. -2 _2 1 7 15.1 12.0 19.53.a! 5,276,2 26.126,37 25.435.97 24.06A BR 8.716.1 234.584.07 220.458.853 49.972.18 -7 z 1 12.2 -122 21.1 Q1. Chico Cosmetics Company is estimating market sales potential effective demand) and sales/profit forecasting on its new anti- aging cream for the U.S. mature female consumers. The information given is: - Group 1: The U.S. female population aged between 45-64 years: See the Census table below Group 2: The U.S. female population aged 65 years and over: See the Census table below 20% of Group 1 use anti-aging cream and the average amount consumed per person per year is 1.2 jars 25% of Group 2 use anti-aging cream and the average amount consumed per person per year is 1.5 jars The average price per 1g of anti-aging cream is $1 and average size of a jar of anti-aging cream is 50g. - Chico Cosmetics Company's info: Target market: 30%, Distribution Communication coverage: 70% a) Use 'chain ratio method (See Kerin's Ch. 4)' and your logics/rationales to calculate market sales potential (units and S) of the market in 2018. If any information you think needed is not provided, use rational/logical estimates. (5 pts.) b) Estimate Chico Cosmetics Company's sales forecast (units and $) in 2018 for its anti-aging cream. (5 pts.) c) Would you launch the product in 2018? Explain your rationale. (5 pts.) Tn- No information related to wriable costs or the nichert uit sollino nrice is given Do the simnie mimorir value mahisis. Table 1. Population by Sex and Selected Age Groups: 2000 and 2010 2010 Sex and selected age groups www2000 Num Change, 2000 to 2010 Num Percen Num Percent Perced 308,745,538 100 27,323,631 9.7 151,781,3261 156,984,2121 13.727,76 13,595,86 5 9.5. Total population 281,421,90 100 SEX Male 138,053,583 Female 143,368,343 5 5 SELECTED AGE GROUPS Under 1 year .22.293.31 2 Under AS 19.175.79 23 5.10.17 years -53_118.01 18t44.ca 112.183.709 3 18.10.24 years 27.143.45 9.8. - 25.0-44 years 85040.25 3 45.tn. 4. MAAR R1952.13 ..2 2 85 years and over 34.991,75 1 16 years and over 217.149,1271 7 1 year and oxel 209.128.094. 7. 7 wataadavet 196.199.193 Z 82 years and over 41.256,02 Sources: W& Census Bureau. Census 2000 Summary File 1 and 2010 Census Summary File & . 2.6 53 1.6 .24.181.400 20.201.36. 53.980.10 112.806.642 30.472.08 82.134.55 AL4A 44 40 267,98 243,275,505 LARZA 1.425.5. ..882 622 31.52A. 13.Q. 2.5. -1 3 9.9. -2 _2 1 7 15.1 12.0 19.53.a! 5,276,2 26.126,37 25.435.97 24.06A BR 8.716.1 234.584.07 220.458.853 49.972.18 -7 z 1 12.2 -122 2