Module Four Assignment
Southern New Hampshire University BUS
225: Critical Business Skills for Success
01:58:47 GMT -05:00
, Module Four Assignment
Explanation of the Importance of Data Analysis
When assessing the performance of a new product launch, data analysis is crucial. It helps
companies spot trends, evaluate performance in relation to predetermined goals, and come to
wise conclusions. For example, examining profit margins, cost of goods sold (COGS), and sales
data can help ascertain whether the product fulfills financial projections. Additionally, it enables
companies to identify the advantages and disadvantages of their operations and strategy
(Provost & Fawcett, 2013). We examine key performance indicators (KPIs) such as sales volume,
revenue, profit margins, and market penetration to determine whether the new product
introduction was successful. A comprehensive picture of the product's success can be obtained
by comparing these measures against goals and past information. For example, the launch can
be deemed successful if revenue surpasses COGS by the desired margin. We are reporting on
financial performance metrics in this setting and examining their ramifications. Analyzing sales
patterns, profitability, and cost effectiveness are all part of this. Finding opportunities for
improvement, including cutting production costs or strengthening marketing techniques, is
made easier with the study. This data needs to be analyzed since it helps make strategic
decisions that can improve performance in the future. It assists in determining effective tactics
and locations that require development, guaranteeing that resources are distributed effectively.
In the end, data analysis helps businesses maintain a competitive edge and improve
continuously (Davenport, 2014).
Description of Findings
From month to month, the cost of goods sold (COGS) did indeed go down. It began in January
starting at $23,920.00 and remaining that way until May, when it dropped to $18,460.00. Then
in July, it fell to $17,095.00, where it remained for the duration of the year. The yearly COGS
was $235,170.00. When the product was initially introduced in January, there were no
earnings; it was at -$18,920.00. The profitability rose during the course of the year, reaching a
peak in December at $12,905.00. The profit for the year came to $9,830.00. As time goes on,
the profit as a proportion goes up. The cost of goods sold has gone down. The business failed to
make a profit that accounted for 25% of the COGS, yet it did have a successful year's end.
Materials and labor increase from $13,150.00 to $18,400.00. Additionally, from $5,520.00 to
$3,945.00, the overhead was reduced. Materials remained constant at $10,000.00, along with
the unit price of $0.25. The number of units sold went from 20,000 to 120,000.
Summary of Results
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