P & L Statement Cannibalization PRE-CANNIBALIZATION

Financials For Indian Business

Unit Sales 783360.00 Units
Net Sales 1442940000.00
VC of Sales 808050000.00 Revenue
Advertising Cost
Media 152130000.00 Product Cost
Consumer Promotions 134520000.00
Trade Promotions 124120000.00 Variable Margin
Gross Profit 634890000.00
Fixed Cost
Contribution Per Unit (in Rs.) 810.47 Advertising
Consumer Promotions
Trade Promotions
Depriciation
Total FC
Group 1
Amartya Das M1705 Profit (Pre Cannibalization) (Rs.)
Abhik Mondal M1701
Deepanshi Pande M1713
Avinash Kaushal M1709
E-CANNIBALIZATION PRE-CANNIBALIZATION

Year 1 Year 2 Year 1 Year 2

80000.00 150000.00 Units 270000.00 440000.00

188000000.00 352500000.00 Revenue 580500000.00 946000000.00

106400000.00 199500000.00 Product Cost 337500000.00 550000000.00

81600000.00 153000000.00 Variable Margin 243000000.00 396000000.00

Fixed Cost
45000000.00 62000000.00 Advertising 95000000.00 112000000.00
24000000.00 27500000.00 Consumer Promotions 62000000.00 70500000.00
19500000.00 21000000.00 Trade Promotions 35500000.00 38000000.00
5000000.00 7200000.00 Depriciation 15000000.00 20200000.00
93500000.00 117700000.00 Total FC 207500000.00 240700000.00

-11900000.00 35300000.00 Profit (Pre Cannibalization) (Rs.) 35500000.00 155300000.00

P & L Statement Cannibalization PRE-CANNIBALIZATION

Financials For Indian Business

Unit Sales 783360.00 Units
Net Sales 1442940000.00
VC of Sales 808050000.00 Revenue
Advertising Cost
Media 152130000.00 Product Cost
Consumer Promotions 134520000.00
Trade Promotions 124120000.00 Variable Margin
Gross Profit 634890000.00
Fixed Cost
Contribution Per Unit (in Rs.) 810.47 Advertising
Consumer Promotions
Trade Promotions
Depriciation
Total FC

Profit (Pre Cannibalization) (Rs.)

E-CANNIBALIZATION POST-CANNIBALIZATION

Year 1 Year 2 Year 1

270000.00 440000.00 Profit Pre-Cannibalization 35500000.00

580500000.00 946000000.00 Cannibalization Rate 0.32

Units Cannibalized 84600.00
337500000.00 550000000.00
Cannibalization Cost 70024632.35
243000000.00 396000000.00

95000000.00 112000000.00
62000000.00 70500000.00
35500000.00 38000000.00
15000000.00 20200000.00
207500000.00 240700000.00

35500000.00 155300000.00 Profit (Post Cannibalization) (Rs.) -34524632.35

ON

Year 2
155300000.00

0.32
140800.00

114114215.69

41185784.31
Choice : Mainstream Positioning of Kookaburra Kahuna Ready

Positioning Strategies:

1. Larger volume of mainstream positioning helps in achieving a higher profit by the end of second year post cannib
2. Mainstream positioning will lead to deeper market penetration, keeping in mind the huge population or the custo
3. Niche Volume is too low for the first year to recover the invested cost
end of second year post cannibalization
he huge population or the customer base in the market, which means it will result it reaching wide customer base