Your firm and 2 competitors share a niche market producing outdoor heaters. You are considering launching a new model called "Pretty darn hot" in addition to your two existing products, Cozy I and Cozy II. Your competitors currently sell the "Not too warm, not too cold" and "Australian Winter" models. Current sales (which are assumed to continue in the absence of new product launches) and expected sales when the new product enters the market are depicted in the table below (numbers in thousands $): Product Current Period Sales Expected Period Sales "Cozy I" 14.6 14.0 "Cozy II" 23.8 19.9 "Pretty darn hot" 26.2 "Not too warm, not too cold" 96.8 83.6 "Australian Winter" 40.5 37.0 What are the incremental sales that you should consider when evaluating the new model (in $'000)? (Give your answer in thousands accurate to 2 decimal places)

Your firm and 2 competitors share a niche market producing outdoor heaters. You are considering launching a new model called "Pretty darn hot" in addition to your two existing products, Cozy I and Cozy II. Your competitors currently sell the "Not too warm, not too cold" and "Australian Winter" models. Current sales (which are assumed to continue in the absence of new product launches) and expected sales when the new product enters the market are depicted in the table below (numbers in thousands $): Product Current Period Sales Expected Period Sales "Cozy I" 14.6 14.0 "Cozy II" 23.8 19.9 "Pretty darn hot" 26.2 "Not too warm, not too cold" 96.8 83.6 "Australian Winter" 40.5 37.0 What are the incremental sales that you should consider when evaluating the new model (in $'000)? (Give your answer in thousands accurate to 2 decimal places)

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter15: Decision Analysis

Section: Chapter Questions

Problem 8P: Video Tech is considering marketing one of two new video games for the coming holiday season: Battle...

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