The SMM Company,which Is Manufacturing a New Instant Salad Machine,has

Essay

The SMM Company,which is manufacturing a new instant salad machine,has $280,000 to spend on advertising.The product is only to be test marketed initially in the Dallas area.The money is to be spent on an advertising blitz during one weekend (Friday,Saturday,and Sunday)in January,and SMM is limited to television advertising.
The company has three options available: daytime advertising,evening news advertising and the Super Bowl.Even though the Super Bowl is a national telecast,the Dallas Cowboys will be playing in it,and hence,the viewing audience will be especially large in the Dallas area.A mixture of one-minute TV spots is desired.The table below gives pertinent data: $$\begin{array} { l c c } & \text { Cost Per Ad } & \begin{array} { c } \text { Estimated New Audience } \\\text { Reached With Each Ad }\end{array} \\\hline\text { Daytime } & \$ 5,000 & 3,000 \\\text { Evening News } & \$ 7,000 & 4,000 \\\text { Super Bowl } & \$ 100,000 & 75,000\end{array}$$ SMM has decided to take out at least one ad in each option.Further,there are only two Super Bowl ad spots available.There are 10 daytime spots and 6 evening news spots available daily.SMM wants to have at least 5 ads per day,but spend no more than $50,000 on Friday and no more than $75,000 on Saturday.Formulate and solve a linear program to help SMM decide how the company should advertise over the weekend.