CASE STUDY ON MARKETING ACCOUNTING : ROXOR WATCH COMPANY PTY LTD. Company Profile Roxor Watch Company Pty Ltd Australia is a subsidiary company of Roxor International, the parent company having its headquarters in Geneva. Territories are North America, Middle East, Far-East Asia & Australia. Company 's Goal To sustain and improve the market using product differentiation and competitive price structure. Strength Quality Swiss watch product at a reasonable price due to production efficiences. With the currently intense competition, the brand had managed to hold their sales volume and have some growth in previous years. Threats The market is occupied by the “monsters” in the business…show more content… N = Product N is actually a good fusion of D + the sensors to tell temperature, pressure and humidity + Compass. The cost to produce itself is quiet high ($29) so to have a good margin contribution, it would need a higher selling price than the regular D that sells at $40. It can matched the price of Seiko type D which is $60 and can be marketed to sports minded, adventurous individuals.
R = As an upgrade of product A with its highly durable features, this could be introduced as the most reasonably price item to the general population. This product can take advantage of the market opportunity abandoned by Casio in 1982. 2. Give views on what products, prices, and quantities should David market in 1983
David should sell the following because it would give the maximum dollar and % margin contribution: (supporting computation in Comp 2 tab)
Product B = 5,500 units
Product D = 9,425 units
Product Q = 1,800 @ $80/u Selling Price
Product R = 3,860 @ $25/u Selling Price Product C = 415 units (this is optional, just to maximize the allowed 21,000 units; even without selling this item, it would still give the maximum benefit)
Additionally, Product B and D had proven growth levels for the past two years. Products Q and R would also gain demand due to its new features. There is a risk though for Product Q since it 's almost the same features of D + the AM/FM but