Sandra Kendricks, Kickin It Apparel Coursework Example | Topics and Well Written Essays - 750 words

Sandra Kendricks, Kickin It attire - Coursework ExampleAssume that she decides to sacrifice herself a 15 percent commission instead of the periodic salary of $3,000. Recalculate her projected monthly income statement based on this scenario.3. Sandra suspects that she might be underestimating the amount of condemnation needed to manufacture a dress. Sandra estimates that, on average, each dress will require three hours of direct labor at a cost of $1 O/hour. Assume that in reality it takes five hours to manufacture a champion dress. Recalculate the economics of one unit and projected monthly income statement based on this scenario.A way for Sandra to increase her profits is by increasing the sales price of her merchandise. Two additional slipway to increase profits is by lowering the cost of materials and direct labor costs per unit. Sandra could pay the borderline salary of $7.25 an hour instead of $10.00 an hour for direct labor.Sandra and Kickin It are not the same entity. T he company could form money, but this does not mean that Sandra is better off running the company than working elsewhere. If the sum of Sandras salary and the net profit of the business are less than what Sandra was making working full time Sandra is not better off as a manager of the business. Sandra could go back to work full-time and hire a manager that makes $1,500 a month instead of the $3,000 a month she allocated for her salary. This way Sandra would stool a full time salary and the business would generated under the original scenario $4,320.The pricing strategy the Kickin It Apparel is using is a penetration strategy. The company just got its first order and the pricing strategy apply was to set the sales price low in order to gain market share. The firm seeks to fit its first customer in order to gain penetration into the fashion industry. Once the first have a go at it goes through the company expects to gain recurrent business from that strategy. Upon further researc hing the fashion industry my assessment is that the