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Selecting Survival as our pricing Objective to subsist the intense competition and changing
consumer wants. Our Short run objective would be just to cover variable cost and some of the
fixed cost to make our presence in market, after then we would be adding values or change our
objective as per the market.
Fixed Cost includes the Rent, Interest, Salary payroll, equipment etc. and variable cost Material
cost, Expenses for office supplies, advertising, etc.
Estimation (approximation):
Expected sales per day are 5500 bottles per day throughout Patna.
Item JAN FEB MAR APRIL MAY JUNE JULY AUG SEPT OCT NOV DEC
MARKETING
PROMOTION
Radio
20000 20000 20000 20000 20000 20000
advertising
Television
advert
Print
30000 35000 25000 20000 20000 20000 20000 35000
advertising
Online
20000 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000 20000
advertising
Web search
optimisation
mail outs 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000 10000
giveaway
Events 50000 70000 50000
Branding and
artwork
Merchandising
Publications
Catalogues
Others
Marketing
promotion 130000 65000 50000 55000 50000 50000 140000 50000 50000 100000 30000 85000
total
Others
Research 20000 20,000
Travel 20000
Postage
Administration
Incidentals 40000
More 45000
Other total 105000 0 0 0 0 20000 20000 0 0 0 0 0
TOTAL 235000 65000 50000 55000 50000 70000 160000 50000 50000 100000 30000 85000