The Profit episode

The Profit episode

You can write more to complete these questions, just finish each question and I’ll give you more tips.

After watching The Profit episode of Mr. Cory’s Cookies, start a discussion post addressing the following topics:

Give a brief overview of the company when Marcus arrives; the product costs, process, people (the 3 P’s). Discuss any constraints and obstacles that the company is facing.

Cory gives Marcus a summary of the P/L results starting with 2014. Comment on the increase in sales and profit, and compute the net profit margin for each year.

Discuss Marcus’ investment in the company. In your opinion, what is an acceptable ROI for Marcus.

Briefly address Marcus’ plan to turn the company around. How did his plan affect product costs; comment on the new cost structure (describe the variable and fixed cost components), the new process and people involved.

Do a little research outside of the video – where can you buy Mr. Cory’s cookies and how much does a dozen sell for?

Now that you know the selling price per unit (dozen) – prepare an estimate of the contribution margin per unit (dozen). This is just your estimate – describe your assumptions to support the estimate.

The following information will provide additional guidance on discussion board expectations.

15 points of extra credit for the content of your initial thread (addressing all the questions asked with appropriate detail).

Solution Preview

The Profit Episode

Cory Nieves is a thirteen-year-old CEO of Mr Cory’s cookies. The firm offers different flavors of cookies using all natural ingredients. When Mr Marcus arrives at the firm, he interviews the team so that he can learn about the entire process of manufacturing so that he can find ways of saving the company. Cory and his mum explain that they are the only people involved in the manufacturing process.

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