1) Discuss fully the problem facing the company. Larry Brownlow’s is a soon to be graduate, who is considering in opening a Coors distribution center in southern Delaware. Larry is looking to consult an outside company about this but also staying within the budget of $15,000. With is limited funds the problem was giving directions to Mason and Associates regarding what research should be completed by February. This research would determine the markets potential of a Coors beer that would have the distributorship in a two-county area for southern Delaware. Within this problem two other issues arose, the first problem was what type of research should be conducted on the suppliers of Mason and Associations …show more content…
With a budget of only $15,000 Mason and Associates proposed the following: First, $1,000 would be invested in the National Delaware pre-capita Beer Consumption for 1988-1992. Second, $1,500 would go towards the population estimate for two Delaware counties in the market area. Third, $2,000 would be Estimate of Coors market share for 1990-1995. Forth, $1,000 would go towards the estimate of number of liquor and beer licenses for the market area. Fifth, $200 would be used for beer taxes paid by the Delaware wholesalers. Sixth, $49.50 would be used for financial statement of the wine, liquor and beer wholesalers for the fiscal year 1988. Seventh, $6,000 would go towards consumer study. Eight, $4,800 would go towards the retailer study and finally $2,000 would go towards the survey of retail and wholesale beer prices. This briefly summarizes the Mason and Associates research proposal for Larry Brownlow. Unfortunately, this plan comes out to be more than $15,000, which was initially Brownlow’s …show more content…
The second point refers to the population estimate and data, this can be done through using the census data. The third point refers to the market share of Coors, this can be obtained through the management of Coors. Larry Brownlow can also go around Delaware to find out if Coors is liked or disliked within the state or even nationwide. Many alternatives to this case, the obvious one that stands out is for Brownlow to fully do all the research himself to keep within the $15,000 budget. Another alternative can be for Brownlow to do part of the research himself and the get the rest of it from Mason and Associates. For example, some of the points I mentioned earlier Brownlow can do himself, like points one, two and three. Then rest of the points four through nine he can buy from Mason and Associates. And of course the last alternative which really isn’t an alternative but the first plan itself, to buy the research from Mason and Associated, but this will cause Larry Brownlow to exceed his limited amount. I personally feel that the best option for Larry would be to do some of the research that isn’t too hard ot obtain himself, for example the population date, himself to save money. The rest of the research which is harder would be brought from Mason and Associates, which will then not be as expensive but will help Larry Brownlow to stay within the budget of