Question 1
Hi, I need to answer the 6 questions at the end of the paper. The first five question I have a friends answers, You just need to reword. Here are the answers:Fred Roger 1.Your Role as a Financial Resource ? As a third partner in Air Taxi, my entire network of contacts comes with me. From senior executives at top financial institutions and technology gurus to billionaire entrepreneurs and franchise executives, my network spans the globe. Not only does my personal knowledge and experience bring much reputability to the business, but also my entrepreneurial mindset would propel this company to its maximum potential. As co-owner of the business, I would personally be responsible for ensuring the best industry financial practices are implemented within the organization. By accepting ownership at Air Taxi, I would take it upon myself to ensure the long-term financial success of the company. 2. Constructing the Business Plan ? There are several documents that I would produce when creating the financial section of the business plan: ? Pro forma documents (cash flow, income statement, balance sheet) ? Industry research and private aircraft charter revenues in the U.S. ? Cost structure of service ? Ancillary services to be offered ? Working Capital ? Equity ? Ratio Analysis ? Leverage (debt) ratios ? Current Ratio ? Account receivable turnover ratio ? Days sales outstanding (DSO) ? Total asset turnover ? Debt-to-equity ? Debt-to-total-assets ratio ? Debt coverage ratio ? Coverage ratio ? Gross profit margin ratio ? Operating profit margin ratio ? Net Profit Margin Ratio ? Return on Equity Ratio ? Break Even Quantity ? Break Even Dollars 3. Revenue Forecasts ? I would do a through analysis of the industry competition. I would take an industry average of cost in relations to air fare costs. Revenue projections for this new business model would be difficult to forecast, so an educated guess would be created. 4. Costs and Expense Forecasts ? Besides the costs that Louis and Fred have come up with, there are other factors to consider when projecting operating expenses: ? Consulting fees ? Legal representation retainer ? Memberships and subscriptions to organizations ? Office equipment ? Corporate office space build out costs ? Printing and promotional costs ? Training of staff ? Travel expense ? Website ? Advertising costs ? Entertainment 5. Capital Requirements ? After the business plan is completed, the financial portion will reveal the capital requirements of this venture. Several people including some of my experienced financial analysts that will help Air Taxi determine whether or not the financial projections are accurate. This review will determine more accurately how much additional capital will be needed to launch this venture. The analysis will also address any unaccounted capital expenses that the company may need. Air Taxi will raise capital in several tranches. The first will help launch the business into the first year; whereas the second and possibly third, will allow the business to expand into more areas of the U.S. and international markets. Another option that Air Taxi will explore is to enter into a strategic partnership with a credit agency like GE Capital. For the customers that want terms or to pay on credit, Air Taxi will offer them that option with a credit agency. Air Taxi will collect the cash minus 10% and the credit agency will deal with the delinquent customers through its already established collection agency. Although the debt-financing route is attractive because we would not have to forfeit a percentage of the company, equity capital is less risky if the business should not be as successful as planned. Through equity financing, Air Taxi would gain the expertise of a savvy investor with a wealth of knowledge, experience, and financial backing. The raising of capital would come in several tranches. Each time, the investor would gain a percentage of the company. For example, the first round of investments would take in $200,000 for 12.5% of the company. At the next round of capital funding, the investment would be $500,000 for another 12.5% of the company. At this point, the three co-owners would be 25% shareholders of the company, but have no debt to repay to any lending body. This should take the company through a substantial growth curve and be a stable business. Should there be another need for capital funding, a $1 million dollar investment would buy 10% of the company. This would leave more than 21% ownership per original owner. Even if a quarter of Louis and Fred?s predictions come true, this Air Taxi will be more than a $30 million business in the first year. If their projections hold completed true, than this will be a $250 million dollar business by the third year. As a saying goes, ?it?s better to have 21% of something, than 33% of nothing.?,Hi, I want to know if you accepted the assignment. Thank you,Hi, I receive the first 5 question. The number #6 I didn't receive. Thank you,Hello, Sorry, but I need this answer for today. I have class at 6 pm. Thank you,Thank you. I took to the professor and I need to send the paper tomorrow morning. He also mentioned that some answers were very very similar to other paper.,Hello I am sorry, but I needed the paper for monday. I asked the professor for an extension and I did't receive an answer from you. I need to know when are you going to send me the answer. Thank you,Today. It was for Monday. And the professor gave me two more days.,Sorry, I spoke with a representative this afternoon, he said he was going to cancel the question and give me back my money. I wrote you the teacher only gave me a chance until yesterday. I do not need the answer today. I get a zero.
Question 2
1.Define "product layers." Give examples for each layer. 2.What are the stages of the product life cycle? How do marketers change their strategy as the product moves from one stage to the next? 1 of 15 One of the major advantages of publicity is that consumers often view it as more credible than advertising. it gives marketers the maximum possible control over the message. it targets the intended audience more accurately than other promotional tools. it has the power to stimulate an immediate desire to buy the product. Question 2 of 15 Changing the marketing mix or finding new uses for a product can often extend the period of time a product remains profitable during its life cycle True False Question 3 of 15 The brand name, features, and packaging of a product are considered part of the actual product True False Question 4 of 15 When Pillsbury reached an agreement with M&Ms to include the candy in one of its ready-to-bake cookie dough products, the two companies were using a strategy known as cobranding True False Question 5 of 15 Product differentiation attempts to create real or perceived differences among competitors' products in the minds of consumers True False Question 6 of 15 People see the Nike Swoosh on athletic shoes as well as on an assortment of athletic apparel for almost every sport. Lately, the company has begun branching out into several entirely new product categories such as MP3 players. This indicates that Nike has decided to pursue a strategy of brand equity. line extension. cobranding. brand extension. Question 7 of 15 In the introduction stage of the product life cycle, marketing efforts focus on building customer awareness of the product. reinforcing brand positioning. dynamic innovation. protecting market share from competitors. Question 8 of 15 _____ is the paid integration of branded products in movies and on television. Advertising Publicity Promotional mix Product placement Question 9 of 15 In the growth stage of the product life cycle, competition is virtually nonexistent because competitors have had enough time to introduce their own products. will begin as competing firms introduce their own versions of the product. has already become well-established, with many weaker firms already leaving the market. will spur major price cuts that dramatically cut into profits. Question 10 of 15 MBI's sales strategy is based on having its sales representatives take the time to develop lasting relationships with their customers. The focus is on obtaining a thorough understanding of the needs of each customer so that the representatives can provide practical ways to meet these needs with MBI's products and services. This is an example of a form of promotion known as preemptive selling. consultative selling. tactical promotion. customer advocacy. Question 11 of 15 The more difficult it is for consumers to grasp what a product does and how it works, the slower that product's _____ tends to be. movement through the product life cycle rate of diffusion business cycle rate of market separability Question 12 of 15 Using integrated marketing communication involves creating different product messages for different media in order to adjust for the unique strengths and weaknesses of each medium True False Question 13 of 15 BOGO?Buy One, Get One free?at Payless Shoes is a great example of what kind of promotion? Trade promotion Samples Promotional promotion Premium promotion Question 14 of 15 The sales process follows six key stages, but before the process begins, salespeople must have an understanding of the product, industry, and competition. completed sales training in the use of effective prospecting techniques. an understanding of sales channel marketing tactics. an understanding of missionary, personal, and consultative selling practices. Question 15 of 15 Dale owns a heavy-haul trucking company specializing in the transportation of dimensional lumber products and other building materials. His company is typically cheaper and faster than his competitors. He's looking for the right positioning statement. Which might be best? "Breaking the speed limit for you" "Dale's trucking provides better service at lower cost." "Faster service, lower cost, no job too big" "Haulin' planks, baby"
Question 3
Case 5.1 MERCK ACQUISITION OF MEDCO On July 28, 1993, Merck & Company, then the world?s largest drug manufacturer, announced that it planned to acquire, for $6.6 billion, Medco Containment Services Incorporated, the largest prescription benefits management company (PBM) and marketer of mail-order medicines in the United States. This merger reflected fundamental changes taking place in the pharmaceutical industry. GROWTH IN MANAGED CARE Perhaps the most significant change involves the growth of managed care in the health care industry. Managed care plans typically provide members with medical insurance and basic health care services, using volume and long-term contracts to negotiate discounts from health care providers. In addition, managed care programs provide full coverage for prescription drugs more frequently than do traditional medical insurance plans. Industry experts estimate that by the turn of the century, 90% of Americans will have drug costs included in some kind of managed health care plan, and 60% of all outpatient pharmaceuticals will be purchased by managed care programs. The responsibility for managing the provision of prescription drugs is often contracted out by the managed care organizations to PBMs. The activities of PBMs typically include managing insurance claims, negotiating volume discounts with drug manufacturers, and encouraging the use of less expensive generic substitutes. The management of prescription benefits is enhanced through the use of formularies and drug utilization reviews. Formularies are lists of drugs compiled by committees of pharmacists and physicians on behalf of a managed care organization. Member physicians of the managed care organization are then strongly encouraged to prescribe from this list whenever possible. Drug utilization reviews consist of analyzing physician prescribing patterns and patient usage. They can identify when a patient may be getting the wrong amount or kind of medicine and when a member physician is not prescribing from a formulary. Essentially, this amounts to an additional opportunity for managed care or PBM administrators to monitor costs and consolidate decision-making authority. The key aspect of the shift to managed care is that the responsibility for payment is linked more tightly to decision making about the provision of health care services than it is in traditional indemnity insurance plans. The implications for drug manufacturers are far reaching. With prescription decision-making authority shifting away from doctors to managed care and PBM administrators, drug manufacturers? marketing strategies similarly will shift their focus from several hundred thousand doctors to a few thousand formulary and plan managers. This, in turn, will result in a dramatic reduction in the sales forces of pharmaceutical manufacturers. Several other significant changes in industry structure are expected to occur. Many industry experts predict that managed care providers will rely on a single drug company to deliver all of its pharmaceutical products and services rather than negotiating with several drug companies. This will favor those firms with manufacturing, distribution, and prescription management capabilities. In addition, many experts believe that only a handful of pharmaceutical companies will exist on the international scene in a few years. They point to intense competition, lower profits, and a decrease in the number of new drugs in the ?research pipeline? as contributing factors. BENEFITS OF THE ACQUISITION Merck & Company and Medco Containment Services Incorporated believe that a merger between the two firms will create a competitive advantage that will allow for their survival. Merck executives identify Medco?s extensive database as the key factor motivating the merger. Medco maintains a computer profile of each of its 33 million customers, amounting to 26% of all people covered by a pharmaceutical benefit plan. Medco clients include 100 Fortune 500 companies, federal and state benefit plans, and 58 Blue Cross/Blue Shield groups and insurance companies. Numerous opportunities exist for Merck to utilize the information contained in Medco?s database. First, the database will allow Merck to identify prescriptions that could be switched from a competitor?s drug to a Merck drug. Merck pharmacists will then suggest the switch to a patient?s doctor. This prospect of increasing sales is enormous. Second, the database will allow Merck to identify patients who fail to refill prescriptions. The failure to refill needed prescriptions amounts to hundreds of millions of dollars in lost sales each year. Finally, Merck will be able to use Medco?s computerized patient record system as a real-life laboratory with the goal of proving that some Merck drugs are worth the premium price charged. This will take place by identifying who takes what pill and combining that information with the patient?s medical records. This might allow Merck to establish the supremacy of its products. Additional benefits of the merger include $1 billion annual savings in redundant marketing operations and a reduction in Merck?s sales force as a result of more precise marketing strategies brought about by Medco?s database and the industry emphasis on marketing to plan managers instead of doctors. Merck & Company?s acquisition of Medco Containment Services Incorporated is essentially an attempt to increase market share in an industry with decreasing prices by capitalizing on the most valuable asset in the pharmaceutical industry?information. It also is intended to increase its competitive position in the growing managed care arena by aligning itself with a PBM. Merck & Company?s strategy was quickly emulated when British drug maker SmithKline Beecham announced plans to acquire Diversified Pharmaceutical Services Incorporated, one of the four largest drug wholesalers in the United States, from United Healthcare for $2.3 billion, and Roche Holdings Limited reported that it planned to acquire Syntex Corporation. Also, in the summer of 1994, Eli Lilly and Company announced its intention to acquire PCS Health Systems from McKesson Corporation for $4 billion. These mergers were not only a reaction to the changing industry structure but caused the change to accelerate. QUESTIONS C5.1.1 What was the major force driving this acquisition?
Question 4
Could you please solve the attached practice questions? Thank you!,Thank you! Does this Indicate that you have accepted the assignment?,Could you also answer these 5 questions as well? Thanks! 34. Torjan Co., expects investments in a project to generate additional annual after-tax incomes of $375,000, $325,000, $475,000, $275,000, and $75,000 over a five-year period. Assume that the average book value of the project over the five-year is $1,150,000. What is the accounting rate of return (ARR) on the project? a. 32.68% b. 6.52% c. 26.52% d. 41.30% 35. Potomac Real Estate is planning to invest in a new development project. The cost of the new development will be $27 million. The project is expected to generate $12,250,000, $20,064,000, and $24,000,000 over the next three years. If the appropriate discount rate is 12 percent, what is the NPV of the project. a. $29,314,000 b. $17,015,124 c. $12,320,000 d. $17,925,000 36. Samsun Company is planning to invest in a new project. The cost of the project will be $30 million and is expected to generate cash flows of $12,200,000, $22,326,000, and $9,084,240 over the next three years. The company?s cost of capital is 15 percent. What is the internal rate of return on this project? a. 15% b. 18% c. 20% d. 22% 37. What is the IRR of a project with an initial outlay of $45,000 and a single cash inflow of $100,000 in year 6 (round to the nearest percent)? A. 10% B. 11% C. 12% D. 14%,Thanks. I was able to solve questions 34,35,36 & 37.,Dear Michael, Thank you so much for your help, and for your thorough explanations of each problem (I understand them much better now). Also thank you for taking the extra step to solve problems 34-37, I got the same answers as you which is a great confirmation, but initially I wasn't sure whether what I got was correct. I'll be sure to leave a positive feedback!!
Question 5
Need this within the next hour!! Please help! 1. Mothers Against Drunk Driving (MADD) is a very visible group whose main focus is to educate the public about the harm caused by drunk drivers. A study was recently done that emphasized the problem we all face with drinking and driving. Five hundred accidents that occurred on a Saturday night were analyzed. Two items noted were the number of vehicles involved and whether alcohol played a role in the accident. The numbers are shown below: Number of Vehicles Involved Did alcohol play a role? 1 2 3 Yes 60 110 30 200 No 40 215 45 300 100 325 75 What proportion of accidents involved more than one vehicle? Place your answer, rounded to 2 decimal places, in the blank. For example, 0.23 is a legitimate entry. 2. Are America's top chief executive officers (CEOs) really worth all that money? One way to answer this question is to look at the annual company percentage increase in revenue versus the CEO's annual percentage salary increase in that same company. Suppose that a random sample of companies yielded the following data: percent change for corporation 15 12 3 12 28 6 8 2 percent change for CEO 6 17 -4 12 32 -1 7 2 Do these data indicate that the population mean percentage increase in corporate revenue is greater than the population mean percentage increase in CEO salary? Use a 5% level of significance. What is the test value that you would use to conduct this test of hypothesis? Place your answer, rounded to 3 decimal places, in the blank. For example, 2.345 would be a legitimate entry.
