Key Learning Objectives prior to Third Midterm

1. Key Learning Objectives prior to Third Midterm Ted Mitchell

2. Key LearningObjectives • 1) Know the Revenue and Cost components in an Operating Statement that are associated with Marketing Management • 2) Know the key ratios and how to use them • Markup, Mp • Gross Profit Margin, GROS • Net Profit Margin, ROS • Marketing Return on Sales, MROS • Return on Marketing Expense, ROME, ROMI, MROI

3. Key Learning Objectives • 3) Set a selling price using common cost based methods such as • Target Profit Method • Markup Pricing Method • ROS Pricing Method • 4) Setting marketing budgets using common Cost Based Methods • Advertising to Sales Ratio • Affordable method

4. Key Learning Objectives • 5) Breakeven Analysis • BEQ • BEP • BER • BEMp • 6) Crossover Analysis, Indifference Points and Margin Maintenance • Quantity needed to maintain a gross profit and offset a price reduction • Sales Employees or Sales Reps crossover point • Lowest Bid that maintains gross profit

5. Key Learning Objectives • 7) Definitions of Market Share and the relationship between them • 8) Using Relative Marketing Mix and Market Share Theorem for an analysis of performance relative to competitors • 9) Using Relative Product Quality and Relative Price to set the selling price,

6. Key Learning Objectives • 10) Impact of changes in two variables on the changes in a third variable. • Impact of the changes in Market Size and Market Share on the change in Sales (R or Q) • Impact of the changes in the number of calls and the close-rate on the number of completed sales • Impact of the changes in variable cost and quantity sold on the total Cost of Goods Sold

7. Any Questions?