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Answer following questions need urgent Answer the following questions: • List and describe in detail the five criteria used to determine if a segment is attractive and worth pursuing. Using the known variables in the scenario below, how much profit will Jared make on his new idea? • Will you advise Jared to go ahead with his idea? Jared has a seasonal lawn-mowing business in Ocean City, NJ running from April 1 to October 1. He wants to expand his business. Through market research, he has identified a section of homes within another zip code with similar characteristics to his current customer base. Jared has targeted 400 homes within the zip code. He estimates that 10 percent of them would be likely to use his service. He charges $25 per mowing and on average customers mow their lawns 20 times a year. Jared estimates the variable costs to expand his business will be $5 per mowing and his fixed costs (gas, storage) are $2,000.

Answer following questions need urgent Answer the following questions: • List and describe in detail the five criteria used to determine if a segment is attractive and worth pursuing. Using the known variables in the scenario below, how much profit will Jared make on his new idea? • Will you advise Jared to go ahead with his idea? Jared has a seasonal lawn-mowing business in Ocean City, NJ running from April 1 to October 1. He wants to expand his business. Through market research, he has identified a section of homes within another zip code with similar characteristics to his current customer base. Jared has targeted 400 homes within the zip code. He estimates that 10 percent of them would be likely to use his service. He charges $25 per mowing and on average customers mow their lawns 20 times a year. Jared estimates the variable costs to expand his business will be $5 per mowing and his fixed costs (gas, storage) are $2,000.

Practical Management Science
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Answer following questions need urgent Answer the following questions: List and describe in detail the five criteria used to determine if a segment is attractive and worth pursuing. Using the known variables in the scenario below, how much profit will Jared make on his new idea? Will you advise Jared to go ahead with his idea? Jared has a seasonal lawn-mowing business in Ocean City, NJ running from April 1 to October 1. He wants to expand his business. Through market research, he has identified a section of homes within another zip code with similar characteristics to his current customer base. Jared has targeted 400 homes within the zip code. He estimates that 10 percent of them would be likely to use his service. He charges $25 per mowing and on average customers mow their lawns 20 times a year. Jared estimates the variable costs to expand his business will be $5 per mowing and his fixed costs (gas, storage) are $2,000.
Transcribed Image Text:Answer following questions need urgent Answer the following questions: List and describe in detail the five criteria used to determine if a segment is attractive and worth pursuing. Using the known variables in the scenario below, how much profit will Jared make on his new idea? Will you advise Jared to go ahead with his idea? Jared has a seasonal lawn-mowing business in Ocean City, NJ running from April 1 to October 1. He wants to expand his business. Through market research, he has identified a section of homes within another zip code with similar characteristics to his current customer base. Jared has targeted 400 homes within the zip code. He estimates that 10 percent of them would be likely to use his service. He charges $25 per mowing and on average customers mow their lawns 20 times a year. Jared estimates the variable costs to expand his business will be $5 per mowing and his fixed costs (gas, storage) are $2,000.
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