Marketing: The Core 3rd Edition by Roger Kerin, Steven Hartley,William Rudelius

Exercise 3

For analysis purposes only, assume that ( a ) a pair of Starbury One sneakers is delivered to Steve Barry's from its supplier at a price of $10.00, ( b ) the launch program cost $500,000 including the tour expenses, website development, and print advertising production and placement, and ( c ) these were the only relevant costs. How many pairs of Starbury One sneakers must Steve Barry's sell to break even given these launch costs Has Steve Barry's achieved a 25 percent return on sales given that 3 million pairs of Starbury One sneakers have been sold