State the managementdecision problems for which the followin

State the management-decision problems for which the following marketing research problems might provide useful information.

a) Estimate the sales and market share of department stores in a certain metropolitan area.

b) Determine the design features for a new product that would result in maximum market share.

c) Evaluate the effectiveness of alternative TV commercials.

d) Assess current and proposed sales territories with respect to their sales potential and workload.

e) Determine the prices for each item in a product line so as to maximize total sales for the product line.

Solution

a) Estimate the sales and market share of department stores in a certain metropolitan area.

Should a New Store be opened in a certain metropolitan area?

b) Determine the design features for a new product that would result in maximum market share.

Should a new product be introduced? If so, what features should it have?

c) Evaluate the effectiveness of alternative TV commercials.

What porcentage of people are buying our products due to alternative TV commercials?

d) Assess current and proposed sales territories with respect to their sales potential and workload.

How many new sales people to be hired?

e) Determine the prices for each item in a product line so as to maximize total sales for the product line.

How should the various items in the product line be priced so as to maximize revenue