Analyzing the Market, Customers and Competition – Vocabulary & Concepts Niche ma
ID: 1194077 • Letter: A
Question
Analyzing the Market, Customers and Competition – Vocabulary & Concepts
Niche market
Target market
Strategic market segmentation
One-to-one marketing
Customer life-time value
Just-in-time marketing
Demographic segmentation
Business demographics
Psychographic segmentation
Competitive Analysis
Positioning
Costs – Variable, Fixed, etc.
Revenue-oriented pricing
Operations-oriented pricing
Patronage-oriented pricing
Direct salesforce
Sales agent
Trade shows
Viral marketing
Explanation / Answer
Maintenance
Accounting
Dept
Dept
Dept A
Dept B
Total
Maintenance
Accounting
Dept
Dept
Dept A
Dept B
Total
a.
Maintaenance Dept Cost
300000
Machine hours:
Dept A
2300
Dept B
200
Total Hours
2500
Cost Allocation to Dept A
= 300000 * 2300/2500
= $276,000
b.
Accounting Dept Cost
120000
Employees
Dept A
8
Dept B
4
Total Employees
12
Cost allocation to Dept B
= 120000*4/12
= $40000
c.
Maintaenance Dept Cost
300000
Machine hours:
Accounting Dept
20
Dept A
2300
Dept B
200
Total Hours
2520
Cost Allocation to dept B
= 300000 * 200/2520
= $23,810
Costs Allocation under Direct Methode:Maintenance
Accounting
Dept
Dept
Dept A
Dept B
Total
Departments costs 300000 120000 300000 500000 1220000 Allocation: Maintenance Dept 23/25 & 2/25 -300000 276000 24000 Accounts Dept 8/12 & 4/12 -120000 80000 40000 Total Costs Allocation: 0 0 656000 564000 1220000