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MKT 505 Assignment 2 Developing a Marketing Strategy

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MKT 505 Assignment 2: Developing a Marketing Strategy for a Multinational Company

Due Week 8 and worth 160 points

This assignment consists of two (2) sections: Expected Commercial Value Forcast and Marketing Strategy Research Paper. You must submit both sections as separate files for the completion of this assignment.

Imagine that you are a marketing manager in charge of developing a marketing campaign for Lenovo Computers (www.lenovo.com). Your company is currently selling products in fifty (50) different countries around the world. Lenovo just launched a new notebook. One (1) of the issues that you face is whether Lenovo should employ a multicountry strategy or a global strategy for the new notebook. Your job as a marketing manager requires you to first use an analytical tool to forecast Expected Commercial Value – Net Present Value (NPV) over the next ten (10) years. NPV is used to determine the value of future cash in today’s dollars. NPV is simply the value of the expected future returns of an investment minus the value of expected future cost expressed in today’s dollars.

Section 1: Expected Commercial Value Forcast

1. Utilize the Expected Commercial Value Excel Calculator to estimate the potential commercial success of the new notebook. Note: The Expected Commercial Value Excel Calculator can be found in the online course shell.

a. Fill in the Cashflows section ( column FY 13 through FY 23) found in the MS Excel sheet to project an NPV of above $10,000,000.

Development Costs

Launch and Marketing Costs

Forecasted Units Sold

Assuming the following parameters remain the same in the Excel calculator.

Probability of Commercial Success

0.8

Probability of Technical Success

1

Unit Sales Price

$400

Discount Rate

0.06

b. Estimate the commercial success of the new notebook, based on your...

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