Business, 24.03.2021 21:10, Trucofer8159

Sam is developing a business plan for starting Pizza business in Waltham. Sam specializes in pepperoni pizza. Based on the secondary data he has found out that there are 20,000 families in the area and about 20% of these families are strict vegetarians. He believes that he can get 10% of the market share of the potential customers. His research reveals an average family consumes 10 pizzas per year. It costs a total of $ 6 to make a Pepperoni pizza. Sam is planning to introduce his Pepperoni pizza at $ 8 and raise the price by $2 in the second year. Price elasticity of demand for pizza is 0.50 1. Estimate the demand for Sam's pizza in the first year.
2. Calculate the % markup (profit margin %) on sales price and total cost in the first year
3. Estimate the demand for Pizza in the second year with the new price.

Answers: 2

Show answers

Other questions on the subject: Business

Business, 21.06.2019 20:20, alkaline27

Jing-sheng facilitated a hiring committee for his advertising company. six employees (including two managers) met together to discuss applicants and select the finalists for a copywriter position in the public relations department. although the head of public relations would have the final nod on the candidate that would ultimately be hired, the evaluative work of the committee was very important because this group would send forward those persons they believed would be good work colleagues. in setting up this type of hiring process, the head of public relations was utilizing a(n) style of leadership. a. autocraticb. free-reinc. contingentd. participative

Answers: 3

continue

Business, 22.06.2019 16:20, ashleyprescot05

Stosch company's balance sheet reported assets of $112,000, liabilities of $29,000 and common stock of $26,000 as of december 31, year 1. if retained earnings on the balance sheet as of december 31, year 2, amount to $74,000 and stosch paid a $28,000 dividend during year 2, then the amount of net income for year 2 was which of the following? a)$23,000 b) $35,000 c) $12,000 d)$42,000

Answers: 1

continue

Business, 22.06.2019 19:00, lonelynomad00

Adrawback of short-term contracting as an alternative to making a component in-house is thata. it is the most-integrated alternative to performing an activity so the principal company has no control over the agent. b. the supplying firm has no incentive to make any transaction-specific investments to increase performance or quality. c. it fails to allow a long planning period that individual market transactions provide. d. the buying firm cannot demand lower prices due to the lack of a competitive bidding process.

Answers: 2

continue

Business, 22.06.2019 22:00, lizdeleon248

Your sister turned 35 today, and she is planning to save $60,000 per year for retirement, with the first deposit to be made one year from today. she will invest in a mutual fund that's expected to provide a return of 7.5% per year. she plans to retire 30 years from today, when she turns 65, and she expects to live for 25 years after retirement, to age 90. under these assumptions, how much can she spend each year after she retires? her first withdrawal will be made at the end of her first retirement year.

Answers: 3

continue

Do you know the correct answer?

Sam is developing a business plan for starting Pizza business in Waltham. Sam specializes in peppero...