Last Updated 08 Oct 2020

Marketing Analysis of Friend’s Business

Essay type Assignment
Words 289 (1 page)
1 views

Julia’s Food Booth Based on the LP model to maximize profit with the established constraints Julia should sell pizza and hotdogs and not BBQ sandwiches. Based on this model Julia will earn $2250. 00 in profit. After buying food supplies for the next game she will have $750 remaining ($2250-1500). Julia’s goal was to clear $1000 in profit which she was not able to meet. It is not clear how Julia is paying for the booth rental each game, but assuming she is covering the costs with her profits from the prior game she will need $1000 for the booth + $1500 for food which equals $2500 she needs to make each game just to cover her expenses.

The idea of Julia borrowing money would not be necessary because what is limiting her profit is the limited space she has in the oven. In the model all of the oven space is being utilized by Pizza and Hotdogs. If she borrowed money she wouldn’t have enough room to stock more food. She would have to borrow enough money to rent another oven, if there was enough space in the booth, and enough money to buy additional supplies.

In addition, assuming that my calculations are correct paying a friend to help her does not seem like a good idea as it would further cut into any profit and increase costs. There are many uncertainties that can affect Julia’s profit. The case states that Julia anticipates selling all of her food; but not selling out will adversely affect her already strained profit margin. Fluctuations in the cost of the food could also change the profit. A game that doesn’t sell out could also reduce the number of customers Julia has on any given day.

Order custom essay Marketing Analysis of Friend’s Business with free plagiarism report

GET ORIGINAL PAPER
Marketing Analysis of Friend’s Business essay

This essay was written by a fellow student. You can use it as an example when writing your own essay or use it as a source, but you need cite it.

Get professional help and free up your time for more important courses

Starting from 3 hours delivery 450+ experts on 30 subjects
get essay help 124  experts online

Did you know that we have over 70,000 essays on 3,000 topics in our database?

Cite this page

Explore how the human body functions as one unit in harmony in order to life

Marketing Analysis of Friend’s Business. (2017, Jan 09). Retrieved from https://phdessay.com/marketing-analysis-of-friends-business/

We use cookies to give you the best experience possible. By continuing we’ll assume you’re on board with our cookie policy

Save time and let our verified experts help you.

Hire writer