MGMT 3006 Strategic Analysis

Estimate the annual costs and sales potential if Zara was to open a new store in Winnipeg Manitoba.

For the estimation use a chain ratio analysis starting with Winnipeg population and identify the factors and estimates that determine a Zara target audience. Be sure to consider the frequency and dollar value of purchases.

Then create a short proforma that identifies the annual profit potential for a store in Winnipeg. Remember a proforma income statement includes: Sales forecast, COGS, Gross Profit, Fixed Costs and Net profit.


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