Marketing Simulation Analysis Paper - Essay Example

The organization is divided into four foundational structures each division having a leader. The finance division is chaired by the chief finance officer (CFO), who oversees the director of finance, human resource division and the staff accounts. The marketing division chaired by the chief marketing officer (CMO) and two other supporting stuff members. The operations division led by the chief operations officer and one supporting stuff member. Strategic/international growth chaired by the strategic growth (VP) and one supporting stuff member.

As a result of the increased need of customer satisfaction, we developed our first brand computer called the hot coffee. The reason for developing the brand was to attain a modern, universal brand that would suit and be utilized by the younger generation (university students). This service was appealing to the consumers and unique compared to those offered by competing companies (Clancy & Krieg, 2007). Hot coffee was in some way a luxury which was not cheap but affordable to the consumer’s mind in this case being the students.

This brand was aimed at making customers in the organization the organization to feel the modern day technology. We devised a number of ways to advertise our products. The first advertising piece to be used was “launch ad”. . The large amount of money used in the launching of the sales office and the advertisement development resulted into reduced profits. Due to the losses experienced in the third quarter, we focused on reducing engineering and advertising costs during the fourth quarter to lower the expenditure.

Here we aimed at reducing the amount spent to cater for the losses incurred in the third quarter. The losses in the third quarter further led to low profitability of the coffee brand. Mercedes and Workhouse are the resources that demanded for the brand. Although there was high revenue during the first and the second quarters, the expenses were not enough to meet the demand requirements. Financial weakness experienced led to budgets and resources not aligning to profit growth. In this quarter, the profitability is low.

To raise the profit, we designed a brand called hot tea, which is a model type of computer whose prices is low. This transformed the company to becoming simple and clear hence increasing the number of customers which in turn increased the profit margin. We also opened a new sales office in Paris to facilitate the growth of the existing brand as we planned for future development of new brands. We also aimed at lowering the base model price. Focusing on performance to gain profit was the main aim in the fifth quarter since expansion had taken place during the fourth quarter.

In case profit-gaining failed here, it would be achieved in the sixth quarter. Iced coffee, offered from quarter one to quarter four, and hot tea introduced in quarter four increased profit. Low prices led to reduction of lose. Basing on profitability, iced coffee is more profitable than hot tea. While in terms of competition,