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The PharmaSim Case Period Review . Prepared by: Nik Rentas Turgut Tezir. August 10, 2006. OUTLINE. General Period Review Period Performance Period 4 Period 5 Period 6 Period 7 Conclusions I & II . General Period Review. General Period Review. General Period Review.

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the pharmasim case period review

The PharmaSim CasePeriod Review

Prepared by:

Nik Rentas

Turgut Tezir

August 10, 2006

outline
OUTLINE
  • General Period Review
  • Period Performance
  • Period 4
  • Period 5
  • Period 6
  • Period 7
  • Conclusions I & II
period performance
Period Performance
  • Period 1 was below average compared to groups in the class.
  • Period 8 was above average
    • We were in the top 3 best company based on
      • net income,
      • return on expenditures and
      • return on sale.
    • We were in the top 4 best company based on
      • stock price.
    • We were in the top 5 best company based on
      • share of manufacturer sales,
      • cumulative net income
period 4
Period 4
  • Allround + 12hr Multi Capsule
    • Capsule & Stronger
  • Net Income and Stock Price climb
  • Advertising & promotional spending high
  • Grocery and retail store sale grew
  • Curall has also requested permission to sell children cough medicine
period 5
Period 5

Advertising & promotional spending high

  • Product awareness high but declining
  • New competitor products introduced with better marketing strategies, more focused segmentation.
  • Ethik introduced End+
  • Net Income increased almost double size
  • Stock prices increased
  • Retail sales grew by 12.8%
period 6
Period 6
  • Allright children medicine introduced
  • Total advertising and promotional spending increased
  • Sales force increases caused major improvements
  • Net Income and Stock prices grew
  • Retail sales grew by 7.3%
  • Convenience store sales decreased 21.8 %
period 7
Period 7
  • Advertising and promotional spending increased
  • We continue to increase sales force
  • Grocery stores showed the strongest growth in this period with an increase of 7.5%.
  • Retail sales grew by $164.1 million.
conclusions i
Conclusions I
  • An average advertisement and promotional allowance help us to increase product awareness although didn’t help retention.
  • The best advertising company had a marginal effect. We switched over cheaper advertisement company to reduce advertising cost.
  • Through cost cutting in advertising we increased our sales force to attempt to match that of B&B.

Doing so made retail sales skyrocket and brought us within 10 million dollars of B&B.

conclusions ii
Conclusions II
  • Through cost cutting in advertising we increased our sales force from period 6 on to attempt to match that of B&B.

Doing so made retail sales skyrocket in period 8 bringing Allstar within 103 million dollars of B&B in retail sales.

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