case study with help of gemini marketing consultants at your dispossal kalpavriksha666@gmail.com

case To achieve your target profit of $90 million with the revised pricing and cost structure, you will need to increase your sales volume. Based on the figures provided, here is the breakdown of the calculation: Current vs. New Financial Model Metric Current Scenario New Scenario MRP (Price) $15 $13 Variable Cost $2 $2 Fixed Cost (per unit) $8 $6 Contribution Margin $5 $5 Sales Volume 10,000,000 units 18,000,000 units Total Profit $50,000,000 $90,000,000 How to Achieve the Goal To move from your current profit of $50 million to your target of $90 million, you must increase your sales volume from 10 million units to 18 million units. The Logic: By reducing the MRP to $13 and the fixed costs per unit to $6, your unit contribution margin remains $5 (Calculation: $13 - $2 - $6 = $5). To earn $90 million at a $5 margin per unit, you require 90,000,000÷5=18,000,000 units. Would you like me to analyze how sensitive your profit target is to potential fluctuations in your variable costs, or perhaps model the impact if the volume increase is lower than 8 million units?

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