Reference no: EM133402764
1. The per unit price sold to distributors will be $0.80, regardless of country or quantity sold.
2. The estimated market share for sales depends on how much a segment sees health and wellness as being essential to their lives. If healthy and wellness is a priority for a segment, the CFO assumes a 10% market share in that segment during the first year is reasonable. If health and wellness is not a major priority, the market share is assumed to only be 5%. Health and wellness is considered to not be a priority for a segment if less than 50% of the members of that segment identify it as a priority.
Question 1. Using the GfK data and the information provided by the CFO, what is the estimated annual sales for each segment?
CALCULATION:
Annual Sales $ estimated per segment = [(Original Estimated Units Sold Per Segment per Year) × (Assumed Market Share, per CFO's rules) × (Price per unit to distributors)]
Question 2. Which country, overall, has the highest estimated annual sales? Which country has the lowest estimated annual sales?
Question 3. Based on these estimates, how much money per consumer would we expect for each segment?