1 / 13

Fatima Abdel-Gwad Moncerrat Avila Omar Castellanos

Fatima Abdel-Gwad Moncerrat Avila Omar Castellanos. Client Needs. PSA wants to know if they should re-enter the US with GM motors PSA Peugeot Citroen needs: Detailed explanation of vehicle model and chosen range

elinor
Download Presentation

Fatima Abdel-Gwad Moncerrat Avila Omar Castellanos

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Fatima Abdel-Gwad Moncerrat Avila Omar Castellanos

  2. Client Needs • PSA wants to know if they should re-enter the US with GM motors PSA Peugeot Citroen needs: • Detailed explanation of vehicle model and chosen range • Cost breakdown for each model including standard and individual option costs • Graphical representation showing final recommended prices for each model based on: • Potential sales prices based on a range of 4 to 8 percent profit above cost • Maximum profit point based on estimated consumer response

  3. Peugeot 207 3DR • Economy Range • Estimated Costs (Europe) – (£9,995.00) • Estimated Costs (America) – ($15,766.63) • 6% Profit

  4. Cost and Revenue Function y C(x)=17,624.22x+1,000,000 Amount of Money(in thousands) Amount of Cars (in thousands) x R(x)=-x2+112,260x

  5. Profit Function y Maximum Point: (47.519, 1258.005) Amount of Money (in thousands) x Amount of Cars (in thousands) P(x)=-x2 +95.038x-1000

  6. Peugeot207 CC • Mid-Range • Estimated Costs (Europe) - £16,645.00 • Estimated Costs (America) - $26,256.70 • 8% profit percentage

  7. Cost and Revenue Function Amount of Money (in thousands) y x Amount of Cars (in thousands) C(X)=29.358x+1000 R(X)=-x2+102.11

  8. Profit Function y Amount of Cars (in thousands) x Amount of Money (in thousands) P(X)=-x2 +72.752x-1000 Maximum Point: (36.376, 323.31)

  9. Peugeot RCZ • Luxury • Estimated Costs (Europe): £20679.75 • Estimated Costs (America): $34330.50 • 5% Profit

  10. Cost and Revenue Function y Amount of Money (in thousands) C(x)=37049.84x+1000000 R(x)=-x^2+94180 Amount of Cars (in thousands) x

  11. Profit Function Maximum (65, 3304) P(x)=-x^2+131229.84x+1000000 Amount of Money (in thousands) Amount of Cars (in thousands) x

  12. Solution • Economy makes a maximum profit at 47,519 cars of $1,258,005 • Mid-Range makes a maximum profit at 36,376 cars of $323,310 • Luxury makes a maximum profit of $3,304,000 at 65,000 cars

  13. Suggestions to PSA Peugeot Citroen • Enter country with the Economy, Mid-Range and Luxury cars; you will make a profit.

More Related