The marketing team at P&G Company is developing an advertising campaign to promote their specialty products. They are considering the usage of Television (TV) and Social Media (SM) as the advertising media for their proposed campaign. The cost of making one TV ad is $1200 and the cost of making one SM ad is $600. P&G's advertising budget has been set at $30,000. The TV exposure rate is 600,000 per ad and SM exposure rate is 200,000 per ad. The following additional guidelines are to be considered. • Do not use more than 25 Social Media ads. • Use at least 35 combined TV and Social Media ads. • Ensure a minimum of 5000 exposures through Social Media exposures • The number of Social Media ads cannot be less than the number of TV ads. The Management at P&G would like to know how many TV and how many SM ads should be used to maximize the overall exposure rates of the advertising campaign • Describe the case briefly indicating its dimension (number of variables and constraints). • Construct the algebraic model for the case, identifying the three elements of the model. • Convert the algebraic model into a spreadsheet model and demonstrate how to identify and insert the three elements of the spreadsheet model into Solver on MS Excel. • Solve the model using Solver and make a recommendation based on the obtained results.
The marketing team at P&G Company is developing an advertising campaign to promote their specialty products. They are considering the usage of Television (TV) and Social Media (SM) as the advertising media for their proposed campaign. The cost of making one TV ad is $1200 and the cost of making one SM ad is $600. P&G's advertising budget has been set at $30,000. The TV exposure rate is 600,000 per ad and SM exposure rate is 200,000 per ad. The following additional guidelines are to be considered. • Do not use more than 25 Social Media ads. • Use at least 35 combined TV and Social Media ads. • Ensure a minimum of 5000 exposures through Social Media exposures • The number of Social Media ads cannot be less than the number of TV ads. The Management at P&G would like to know how many TV and how many SM ads should be used to maximize the overall exposure rates of the advertising campaign
• Describe the case briefly indicating its dimension (number of variables and constraints).
• Construct the algebraic model for the case, identifying the three elements of the model.
• Convert the algebraic model into a spreadsheet model and demonstrate how to identify and insert the three elements of the spreadsheet model into Solver on MS Excel.
• Solve the model using Solver and make a recommendation based on the obtained results.
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