Market & Product Analysis

Minhazur Rahman
ID – 192051030
Course – MBA 513
Section – 2
Objective of the Presentation

 Provide brief analysis on the company data.

 Provide a brief analysis on the product of the company
 Provide a detailed analysis on the most sold product
 Provide Sales and Profit forecast for the most sold product
Brief Company Data
Analysis
Overview of Country
TOTAL UNITS SOLD
Wide Total Units Sold
Data USA Canada
21% 22%
From the Pie Chart we can see the
percentage of units sold in each
country.
North America Region is the major
area where the most number of units
are sold and it comprises of 61% of the
overall units sold by the company.
European Region comprises of the
remaining 39% of the products sold.
Mexico
18%
France
21%

Germany
18%
Overview of Profits
Earned by the Profit Earned
Company
From this Pie chart we can see that
the profit is evenly distributed among
all the countries.
However, both the European Region USA Canada
countries have higher profits than the 18% 21%
Canada
other countries.
France
So we can infer that European Market Mexico Germany
is beneficial for the company. 17%
France Mexico
22% USA

Germany
22%
Overview of Total TOTAL SALES
Sales USA Canada
21% 21%
Once more we can see that the sales
is also evenly distributed among all the
countries.
Comparatively USA & Canada has
the highest sales recorded as per the
data.
Furthermore, both France and
Germany has 20% sales each in the
period.
Mexico
18% France
20%

Germany
20%
Statistical Analysis of Total
Units Sold
• Average number of units sold by the company is 1608 units
Units Sold
• It has a standard deviation of 867, it means that the Mean 1608
dispersion of units sold by the company relative to the Median 1543
average units sold is large.
Standard
• Sample variance of 752431 shows that the spread of the
units sold is large.
Deviation 867
Sample
• Kurtosis of -0.315, means that the distribution curve of units
sold is flatter or Platykurtic. Variance 752431
• Skewness of 0.436, it has slight positive skewness, having Kurtosis -0.315
greater mean value than the median values.
Skewness 0.436
• Minimum number of units sold are 200
Minimum 200
• Maximum number of unis sold 4493
Maximum 4493
• 25% of units sold fall under 905 units
1st Quartile 905
• 50% of units sold fall under 1543 units
3rd Quartile 2229
• 75% of units sold fall under 2229 units
Statistical Analysis of Total
Sales
• Average sales of the company is $16960
Total Sales
• Standard Deviation of sales is 236726, dispersion of
sales is also large relative to its average sales. Mean $169609
• Large variance indicate that sales data spread is high Median $35540
as well. Standard
• Kurtosis of 2.19 indicates that is a positive normal Deviation 236726
distribution. Sample
• Skewness of 1.70, means that is has a positive Variance 56039363321
skewness, where mean value is greater than the
median value Kurtosis 2.19
• Minimum Sales is $1655 Skewness 1.70
• Maximum sales is $1159200 Minimum $1655
• 25% of the sales fall under the value of $15928 Maximum $1159200
• 50% of the sales fall under the value of $35540 1st quartile $15928
• 75% of the sales fall under the value of $261078
3rd Quartile $261078
Statistical Analysis of Total
Profit
• Average profit earned is $24134.
Profit
• Standard deviation of 42734 indicates that the
Mean $24134
dispersion relative to average profit is high.
• Large variance indicate that profit is highly spread-out.
Median $9242
Standard
• Kurtosis of 8.679 shows that the distribution curve is Deviation 42761
Leptokurtic and has heavier tail, implying that most of
Sample
the values are around the tail rather than closer to the
mean and has high possibility of having outliers. Variance 1828471184

• Skewness of 2.71, indicates that it has positive skewness. Kurtosis 8.679

• Minimum profit(Loss) is ($40618). Skewness 2.71
• Maximum profit earned is $262200. Minimum ($40618)
• 25% of the profit falls under $2806. Maximum $262200
• 50% of profit falls under $9242. 1st quartile $2806
• 75% of profit falls under $22662. 3rd Quartile $22662
Correlation between Units, Sales and Profit

Correlation Units Sold Sales Profit

Units Sold 1

Sales 0.326913973 1

Profit 0.228436907 0.805462194 1

• All of the variables chosen are positively correlated.

• Correlation of Units Sold with both Sales and Profit has a weak correlation.
Concluding that both sales and profit move slightly due to units sold.
• Profit and Sales has a very strong correlation between them, indicating that one
variable moves positively in relation to each other.
Brief Product Analysis
Overview of Units Sold of
the Product.
• From the Pareto Chart of Units Sold
we can see that Paseo has the
highest percentage of units sold
compared to other products.
• Carretera has the lowest volume of
unit sales.
Overview of Sales of the
Product
• Paseo has the highest overall sales
of $33,011,144.
• Carretera has the lowest overall
sales of $13,815,308
Overview of Discounts
provided for the Product
• 90% of the discounts provided by
the company accumulates for the
product Paseo
• Carretera accumulated lowest
amount of discounts.
Overview of Profit Earned
by the Product
• As we can see from this Pareto
chart that 80% of the profit earned
by the company is due to the sales
of Paseo.
• Carrretera has the lowest profit
earned as it has sold the less than
all other products, indicating that it
has lower demand than other
products.
Analysis on Paseo
 Overview of Units Sold of Paseo
Units Sold
90000
78192
80000
71606 69467
70000 63282
60000 55694
50000
40000
30000
20000
10000
0
Canada France USA Mexico Germany
Units Sold

From the above chart we can see the units sold in each country, where
Canada rank the highest in terms of unit sold.
 DISCOUNT
Overview of
Canada France USA Mexico Germany
Discounts for Paseo
• This Pei Chart enables us to infer
that in Mexico the company Germany
provided 31% discounts for the Canada
12%
22%
product Paseo in order to increase
their sales.
• Both European countries received
less discounts compared to other
countries.
Mexico
31%
France
15%

USA
20%
Overview of Sales of Sales of Paseo
Paseo
• Mexico has one of the highest
sales recorded for the given
period, we can infer that due to Germany Canada
high discounts provided in this 16% 23%
region the sales increased as well.
• As for sales in Germany and
France it is comparatively lower
than other countries.
Mexico
• If we compare the sales with 23% France
discounts provided we can 17%
deduce that due to lower
availability of discounts sales were
USA
hampered in the European 21%
markets.
 PROFIT EARNED
Overview of Profit Earned
by Paseo
• In Mexico the profit earned is on
the lower side, we can assume Germany Canada
that despite having huge sales the 16% 26%
profit is not comparatively high.
• Furthermore, we can also
conclude that due to high amount
of discounts the profit earned on
Mexico
this product decreased compared
19%
to other countries.
• However, in Canada the profit
earned is greater than all other France
countries as it had the most 18%
number of units sold compared to
others.
USA
21%
Analysis of Units Sold of
Paseo
• Average units sold is 1674 units
Units Sold Paseo
• Standard deviation of 877 indicates that dispersion relative
to the mean is high. Mean 1674
• Large variance indicate that the units sold values are far Median 1596
from the mean and are not clustered together.
• Kurtosis if 0.089 shows that the distribution is Mesokurtic or a Standard
flat distribution graph. Deviation 877
• Skewness of 0.531 infers that it is has a positive moderate Sample
skewness and has a tail on the right. Also, indicating that Variance 768739
Mean is greater than Median.
Kurtosis 0.089
• Minimum number of units sold 218 units
Skewness 0.531
• Maximum number of units sold 4493 units
Minimum 218
• 25% of the units sold fall under 1030 units
• 50% of the units sold fall under 1596 units Maximum 4493
• 75% of the units sold fall under 2287 units 1st Quartile 1030
3rd Quartile 2287
Analysis of Discounts on
Paseo
• Average discounts provided was $12874, has a
standard deviation of $24755 indicating that the Discounts
distribution relative to the mean is enormous.
Mean $12874
• Large variance indicates that the values are not
clustered Median $2461
• Kurtosis of 10.048 indicates that is has a Leptokurtic Standard Deviation 24755
distribution of heavy tails meaning lots of data points
are in the tail region & shows the possibility of outliers. Sample Variance 612802807
• Skewness of 3.025 means that the distribution has high
positive skewness and has a tail on the right side.
Kurtosis 10.048

• Minimum discounts is zero dollars Skewness 3.025

• Maximum discounts provided is $149678 Minimum $0
• 25% of the discounts fall under $770
Maximum $149678
• 50% of the discounts fall under $2461
1st Quartile $770
• 75% of the discounts fall under $10493
3rd Quartile $10493
Analysis of Total Sales of
Paseo
• Average sales of $163422 having a standard deviation of
$237090 indicating that the distribution relative to the mean Total Sales
is vast.
Mean $163422
• Also a large variance mean that the values are dispersed.
Median $32419
• Kurtosis of 2.77, mean that is has a normal distribution and a
moderate peak. Standard Deviation 237090

• Skewness of 1.82 indicates that is has a moderate positive Sample Variance 56211765057
skewness and has a tail to the right, where the mean value is
greater than the median value. Kurtosis 2.77

• Minimum sales recorded was $1655 Skewness 1.820

• Maximum sales recorded was $1159200 Minimum $1655.08
• 25% of the Sales fall under $15659
Maximum $1159200
• 50% of the Sales fall under $32419
1st Quartile $15659
• 75% of the Sales fall under $238677
3rd Quartile $238677
Analysis of Total Profit
Earned by Paseo
• Average profit earned is $23750, it has a standard deviation Profit
of $40841 indicating that dispersion relative to the mean is
high. Mean $23750
• Large variance indicating that the values are dispersed and
are further from the mean and each other. Median $9030
Standard
• Kurtosis of 10.60 infers that it has a Leptokurtic distribution with
high peak and heavy tails meaning most of the values lie Deviation $40841
within the tail region of the distribution and possibilities of Sample
outliers. Variance 1667948403
• Skewness of 2.95 means that it has a high positive skewness
and tail to the right, as a result the mean value is much Kurtosis 10.60
greater than the median value.
Skewness 2.95
• Minimum value is a loss of $21560
• Maximum profit earned is $262200 Minimum ($21560)

• 25% of the Profit fall under $2952 Maximum $262200

• 50% of the Profit fall under $9030
1st Quartile $2952
• 75% of the Profit fall under $22242
3rd Quartile $22242
 Correlation between the variables of Paseo

Correlation Units Sold Discounts Sales Profit

Units Sold 1
Discounts 0.217611 1
Sales 0.284773 0.754522027 1
Profit 0.235367 0.486917308 0.837071902 1

• Correlation of all the variables are positive inferring that they move in the same direction.
• Correlation of Units Sold with other variables are less than 0.5, indicating that they have weak
relation between them, changes in units sold slightly affect the other variables.
• Sales and Discounts has a strong correlation between them, signifying that changes in discounts
has a drastic impact on sales.
• On the other hand, Profit and Discount has a moderate correlation which implies that changes in
discounts has relative influence in change in Profit.
• Sales and Profit has a very strong correlation between them, implying that changes in sales
significantly changes the profit earned.
Forecast on Sales and Profit of
Paseo
Sales Forecast of Paseo for the Year 2015
Sales Forecast
$450,000.00
$400,000.00
$350,000.00
$300,000.00

Sales ($)
$250,000.00
$200,000.00
$150,000.00
$100,000.00
$50,000.00
$-

Time (Months)

Sales Forecast( Sales ) Linear ( Sales )

The sales forecast indicates that the company will have increased sales in the
month of January,May, July & November. So the company should prepare
an adequate budget to fulfill the sales in those months. Overall trend shows
that the Paseo will have a increases sales compared to previous years.
Sales Forecast of Paseo for the Year 2015
PROFIT FORECAST
Profit Forecast( Profit ) Linear ( Profit )
$70,000.00
$60,000.00
$50,000.00
Profit ($)
$40,000.00
$30,000.00
$20,000.00
$10,000.00
$-

Time (Months)

Profit forecast shows that the company will incur most of the years profit
in the months of January, May, July, November minimizing the
decreased profit in other months. The forecast also shows that the
company will have steady rise in profit in the year 2015.
Conclusion

 Total Sales and Profit are evenly distributed along all the markets.
 Paseo is one the leading product in terms of Sales and Profit, generating
almost 95% of sales and 80% of the profit earned for the company.
 Mexico and Canada are the primary market where the demand for Paseo
is much higher that other markets, mainly due to increased amount of
discounts given in these markets.
 The demand for Paseo is the European Market is less than other regions,
one assumption is that the low amount of discounts is discouraging the
sales of the product. So an increased discounts provided may increase the
sales as we have seen in Mexico and Canada.
 From the forecast we can see that both sales and profit has an upward
growth having huge spike in sales and profit in some months of the year.