Essay on Financial Data And Projections Of A New Product

Essay on Financial Data And Projections Of A New Product

Length: 866 words (2.5 double-spaced pages)

Rating: Better Essays

Open Document

Essay Preview

Section 7: Financial Data and Projections
Financial data for the next five years are forecasted based on the findings from the market environment analysis. Annacchnio explained that there is a significant difference between the financial model for a new product and for a team member and it is highly represented in accounting terms i.e. sales, cost of sales, operating and financial expenses, depreciation cost and tax amount (Annacchino, 2011). The “heRBer” product is available in three price levels and for the financial year of 2016-2017, it is estimated that 1000 products will be sold and in them 500 Mini Jardin, 300 Med Jardin and 200 Max Jardin. So, total sales revenues are ₹85,00,000 for the first financial year and this less amount of production is because of time needed for attracting the customers and, according to Akalp, to retain the customers by delivering quality services and products (Akalp, 2015) (Harder, 2004).
Particulars/Year 2016-2017 2017-2018 2018-2019 2019-2020 2020-2021
Net Sales and Operating Revenues ₹ 85,00,000 ₹ 1,27,50,000 ₹ 2,55,00,000 ₹ 6,37,50,000 ₹ 25,50,00,000
Cost of Sales ₹ 59,50,000 ₹ 89,25,000 ₹ 1,78,50,000 ₹ 4,46,25,000 ₹ 17,85,00,000
Operating Profit ₹ 25,50,000 ₹ 38,25,000 ₹ 76,50,000 ₹ 1,91,25,000 ₹ 7,65,00,000
Depreciation Cost ₹ 35,700 ₹ 53,550 ₹ 1,07,100 ₹ 2,67,750 ₹ 10,71,000
Finance and interest expenses ₹ 22,950 ₹ 34,425 ₹ 68,850 ₹ 1,72,125 ₹ 6,88,500
Earnings befo...

... middle of paper ...

...l enter into seven large Indian markets including Hyderabad, Bangalore, Chennai, Mumbai, New Delhi, Kolkata and Goa.

Gantt chart for implementation plan of “heRBer”
Major resources involved in performing all these tasks are Research analyst, HR, Software engineer, product designer, product developer, testing engineer, marketing manager and Sales manager. Key stages in this project are research analysis and planning, product design, product development, product launch, and performance assessment and controlling as shown in the below work breakdown structure.

Work Breakdown Structure for “heRBer”
In these stages, Product Development and performance assessment and controlling are the recurring stages i.e. they will be performed continuously to meet the requirements of customers and to deliver high quality services based on the findings from performance assessment

Need Writing Help?

Get feedback on grammar, clarity, concision and logic instantly.

Check your paper »

New Product Marketing Essay

- In Japan, many homes have an electronic toilet seat rather than the conventional ones we use in the United States. The seat features an integrated, self-sanitizing bidet with a nozzle the size of a pencil that comes out from underneath the toilet seat and squirts water (adjusted to the user's comfort) to cleanse one' body after using the toilet. An attached blow drying unit eliminates the need for wiping with toilet paper. Users can adjust the water pressure, the temperature of the water, and the duration of the spray....   [tags: Business Market Analysis]

Free Essays
1157 words (3.3 pages)

Cost Of Electricity From New Kosovo Power Plant Essay

- Taking all of the above factors into account, IEEFA estimates that the system cost of electricity from New Kosovo Power Plant in 2021 will be 128.17 EUR/MWh, determined as follows: The cost of the plant at 128.17 EUR/MWh is four times higher than the current cost of electricity in Kosovo under the system managed by KEK. The cost to produce electricity in the current system was $28.93/MWh in 2015 dollars, as reported by KEK. The current system is old. It is operated under a different set of business assumptions than that used for NKPP....   [tags: Economics, Economic growth, Gross domestic product]

Better Essays
753 words (2.2 pages)

Canon Business Case Essay

- EXECUTIVE SUMMARY 1. INTRODUCTION 2. Situation Analysis 2.1 Industry Analysis 2.2 Sales Analysis 2.3 Competitive Analysis 2.4 Customer Analysis 2.5 SWOT Analysis 2.6 Macro Environmental Analysis 3. Canon Hybrid DSLR Features 3.1 Introduction to the new product 3.2 Marketing objectives 4. Market Segmentation 4.1Consumer Market Segmentation 4.2 Marketing mix 4.2.1Product 4.2.2 Pricing Strategy 4.2.3 Distribution Strategy 4.2.4Promotional Strategy 5. Financial information 5.1 Budget 5.2 Sales Projections 6....   [tags: Market Analysis, Product Analysis]

Better Essays
2090 words (6 pages)

Discovery-Driven Planning Analysis Essay examples

- The Nimsoft project plan will be derived using discovery-driven planning and by discovering what has already been discovered. Discovery-driven planning offers firms an organized approach to planning for new ventures in emerging markets. Given the uncertainty of new disruptive technology markets, discovery-driven planning drives firms to make assumptions about the organization and the emerging markets, then revise these assumptions as the market develops. Unlike conventional approaches, which focus on projections and prematurely define specific targets, discovery-driven planning focuses on meeting assumptions at key milestones and continually planning and adapting while the emerging market ev...   [tags: product competition,finance,nimsoft project]

Better Essays
1246 words (3.6 pages)

Use of Qualitative and Quantitative Research in New Product Development Essay

- There are many ways for the product manager (PM) to gather information on their way to creating a successful business plan to present to upper management to justify the funds and support for new product initiatives, projects and activities. The research methodologies of quantitative, qualitative and experimental research are important processes to assess, identify and refine the many variables which help define the path to decision-making for new product development, product lines and product portfolios....   [tags: product management]

Better Essays
860 words (2.5 pages)

Essay on Questions On Financial Analysis And Projections

- 4 Financial Analysis & Projections: Sales Forecast. The main categories of sales would be monthly magazines, weekly magazines, daily newspapers snacks and beverages. Monthly magazine would be sold at £3 with a 70% cost of sales. Weekly magazines and newspapers will be sold at £2 and a 78% cost of sales. The daily papers will be sold at £1 and 80% cost of sales. Beverage candy and snacks will result in 60% cost of all the sales. Beverages and snacks will be sold on their own and also to customers who purchase the reading materials....   [tags: Finance, Economics, Commerce, Income statement]

Better Essays
914 words (2.6 pages)

Customer Satisfaction And Product Development Essay

- New product development is the process of introducing a diverse product in the existing, emerging or new market. It can originate from new technology or new market opportunities (Eliashberg, J., Lilien, G. L., & Rao, V. R. 1997). Literature defines product development as exploiting an untapped market opportunity and turning it into a value product for customer satisfaction. Development and introduction of a new product requires extensive research on understanding customer needs, market structure, emerging trends and analysing the internal & external competitive market environments....   [tags: Marketing, New product development]

Better Essays
1953 words (5.6 pages)

The Challenges Of New Products And Services Development Essay

- Nowadays, innovation and new product development (NPD) could be considered as an effective strategy for organisations to gain high competitive advantages over its competitor. This strategy has supported companies to satisfy customer requirements individually. Nevertheless, it could also create the challenges as well as the risks which could support or hinder the achievement of companies (Bolumole et al., 2014). This paper will discuss on the challenges of new products and services development. It would also illustrate the challenges and risks associated with developing new products and services....   [tags: Innovation, New product development, Revenue]

Better Essays
1000 words (2.9 pages)

Developing a New Product Essay

- My innovative business idea concerns the introduction of a new product in the market which is aimed at reducing the deaths of American soldiers during war together with other innocent civilians. The product shall be marketed under the brand name “Sham-lethal detector”. A lot of research will be put in the development of the device which utilizes the latest technology. In addition, the product will not only be able to detect explosive devices but also landmines that are mostly found in war torn areas especially Iraq and Afghanistan....   [tags: Business Product Development]

Better Essays
1946 words (5.6 pages)

Essay about Data Warehousing

- Introduction Data Warehouses (DW) integrate data from multiple heterogeneous information sources and transform them into a multidimensional representation for decision support applications. Apart from a complex architecture, involving data sources, the data staging area, operational data stores, the global data warehouse, the client data marts, etc., a data warehouse is also characterized by a complex lifecycle. In a permanent design phase, the designer has to produce and maintain a conceptual model and a usually voluminous logical schema, accompanied by a detailed physical design for efficiency reasons....   [tags: Technology Data]

Free Essays
1282 words (3.7 pages)