toms of mainstream

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Tom ‘s sales are 2 and this indicates that he has gained a 2 of the 110 million households , which gives him about 2 ,200 ,000 household customers or market Tom believes that he can increase this market penetration from 2 to 13 , which means its market would increase from 2 ,200 ,000 to 14 ,300 ,000 households , assuming that each household purchases one product Still assuming that each household purchases one product and the company manages to make the sales which is increased by 13 of sales as Tom has predicted , he is expecting that the sales in dollar value would be increased to 45 ,2 million

According to the article , the questions should be answered If we assume there are about 110 million households in the United States , approximately how many households currently buy Tom ‘s products How big (in households ) does Tom ‘s believe their potential market is If they managed to sell to every one of their potential target households , assuming each household buys about the same amount of Tom ‘s products , how much growth would this represent

The information does not mention about the number of households that purchase more than one of Tom ‘s product Tom is assuming that each household purchase one product but Tom is selling 90 products

Production enhancement itself has increase the cost by 25 While stretching the resources thin , Tom has to reduce the amount of the product to become less than the size of its current product and the same product in the market while keeping the price at its current level

It would reduce his expected growth and hence his profits While expecting or predicting growth , Tom is giving away 10 of its income to charity and increasing his investment in Brooks company and paying his employees 15 higher than the local wage , an indication that he is stretching the resources thin

What “currency ” or value do they offer to retailers instead of money , in to get retailers to promote Tom ‘s products According to the question , the US has 110 million households

This means that the above expectation seems beyond the reality of financial gain Tom also predicts that he is expecting 20 to 25 annual growth in sales before profits

This number indicates the sales values in terms of cost of goods sold However , this number does not picture the true number of the household-customers

Would this growth cause any conflict with Tom ‘s socially-conscious goals How does the company avoid spending a lot of money on marketing

This would give him to 50 million At the same time , Tom ‘s idea is to donate 10 of its pretax income to charity

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