Task #2:Compute profitability and decide on the launch – Blue Chapter

Task #2:Compute profitability and decide on the launch

You are in the launch meeting where you get to know the financials of the product. Will you go ahead with the launch, based on the available information?

Description of the task: You receive the following data from the team. This data gives you the final product price in India & the associated costs. 

Product pricing –  INR 10,000   (Fixed with the global team)

Product cost:

  • Manufacturing fixed cost – INR 2,500
  • Marketing cost – INR 3,000
  • Tax – INR 2,000
  • Shipping, Inventory, and other costs – INR 2,500

Also, 80% of the sales happen when there is at least a 10% discount on the price of 10,000 INR.

Task: Compute the final profit for the product based on the above data? And please mention if you will go ahead and launch the product vs. not.

 

Please login to get access to the quiz
Task#1: Sample Answer (Prev Lesson)
(Next Lesson) Task #2: Sample Answer
Back to Understanding the job of Product Managers
Join the Live Sprint in Machine Learning & Strategy

You are eligible for a limited period discount of upto 10,000 INR. Please fill the form and we will get back to you shortly.

ML Sprint - Interest Form
Join the Live Sprint in Management Consulting

You are eligible for a limited period discount of 10,000 INR. Please fill the form and we will get back to you shortly.

Experience Program - Interest Form