What pricing strategy approaches you suggest printup explore

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Assignment: Case Analysis Questions- Metabical: Pricing, Packaging, and Demand- Forecasting for a New Weight-Loss Drug

I. Discuss Metabical's points of differentiation compared to current weight-loss options?

II. Calculate the demand (unit) forecast for the first five years for each of the forecasting methods considered by Printup. Use Table A in the next page as a guide (Method 1 calculations are completed for illustration purposes). What are the pros and cons of the three forecasting methods presented by Printup?

III. Metabical could be packaged in counts of 7, 14, 21, 28, (4-week supply), 56 (8-week supply), or 84 (12-week supply). What considerations should be taken into account when making decisions about the package count? What package size would you recommend? Why?

IV. What pricing strategy approaches would you suggest Printup explore? What are the advantages and disadvantages of each strategy? Printup is considering three pricing options for a 4-week supply (see Exhibit 3 in the case). Which pricing option would you recommend? Why?

V. Calculate the Gross Margin estimates for the first five years for the different price options and demand forecast scenarios (use Table B in the next page as a guide). What is the ROI* over the first five years for each of the pricing strategies and demand forecast scenarios (see Table C for fixed cost estimates)? What impact does your pricing decision have on profitability?

Attachment:- Table-A-Metabical-Demand-Forecasts.rar

Reference no: EM133199297

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