As for the pricing structure of products the more resources used and time spent

As for the pricing structure of products the more

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As for the pricing structure of products, the more resources used and time spent creating the product the higher the price will be compared to other products that might have used less resources and time to create. As an example, large bags could range from $30-60, small clutches range from $15-30, wallets range from $10-20, and all other leather goods range from $20-40. There has been no commitment to a price structure at this time, and these are only ideas for suitable price ranges for the products. As a goal for starting out, Sol will strive to have $10,000 in sales for the first month. In order to reach this beginning financial goal, Sol is determined to sell as much of the available merchandise as possible . Like in any business, the hope is to sell the majority if not all of the products, but Sol needs to see how the consumers respond to understand the sales estimates month by month. As more research is done, the subsidiary organization will have a way to expect sales for each month and be attentive to customer orders. Over time, Sol’s expected sales are predicted to increase 25% each year for the next three years. With the help from the
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marketing strategies, Sol will continue to gain new and returning customers because of the reliable brand and the quality of the products. In terms of the cost for producing the variety of products, Sol only has an estimate based on the resources used to create these items. Currently, the estimate of the cost to manufacture these products will range from $10-30. Once Sol has connected with the artisans and hears about the costs of the fabrics and dyes used to create the product, then there will be more information of estimate of the cost. The gross margin on sales of these products is an estimate of $2000, which will be explained further in the financial analysis. The majority of the product costs and expected sales are estimations because there is no current research available to give an exact number in the sales plan. Once the research has been completed, Sol will update the sales plan with the most current information possible. For the sales strategy, the plan will focus on the use of sales representatives from the businesses Sol will partner with in order to gain customers. Salespeople have a direct experience with consumers, so for Sol to be a successful brand and organization the sales people need to be informed about the products to sell them to customers. As sales grow, the sales personnel can communicate to Sol how consumers respond to the products and give details about the likes and dislikes of the merchandise. Once Sol has established returning customers, the hope is to direct them to the website where they can make online purchases and buy directly from the organization. Organization Plan Sol is a subsidiary of Envia. Envia is a non-profit organization that strives to aid women in Oaxaca, Mexico to become financially independent by helping them grow their businesses through micro-financing. Currently these artisans are selling the products they are making in the markets in their local areas. As a subsidiary of Envia, Sol will work as a broker getting artisan
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products into stores in the United States.
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