You have just been hired to work for JMed, a corporation that produces and sells a small range of medical diagnostic products. JMed’s main product is the QKit™, an easy-to-use test for the rapid diagnosis of Hepatitis C. The test is intended for use by trained personnel in medical facilities, clinical laboratories, emergency care situations, and physicians' offices as a screening assay capable of providing a result in less than 30 seconds. There is only one competing product

in the marketplace, the HTest™, which is manufactured by the firm SupPharma.

Last week, JMed’s business analyst, Carol Summerville, didn’t show up for work. She longer works at the company.

Before she disappeared, Carol was working on an important and time-sensitive project for

JMed’s CEO, Paul Smith. The project involves four interrelated tasks:

1. Estimate an empirical demand function for QKit s™.
2. Interpret the estimated demand function for QKit s™.
3. Make critical recommendations to upper management based on the empirical demand function.
4. Write a short report summarizing the results of the analysis and any recommendations.

- Is the current price of the QKit ™ optimal? Should it be increase/decreased?

- Is firm’s advertizing expenditures over last 3 years been a good investment?

- Anything else in your analysis that is uncovered.

Please complete this project.

Paul is interested in knowing if the current price of the QKit ™ is optimal and, if not, whether it should be increased or decreased . The current price of a QKit ™ is $30.00 and that since the production process has been set up, the marginal cost of producing additional kits is essentially zero .

Paul is also interested in knowing whether or not the firm’s advertizing expenditures over the last three years have been a good investment and anything else relevant that your analysis uncovers.

Interpret the results, and summarize your findings and recommendations in a brief report ( 1000 words at most, excluding the title page and any appendices), to the point, and not overly technical. When writing the main body of the report, please keep in mind that the person reading the report has minimal knowledge of mathematics, economics, and statistics.

The conclusions/recommendations must be based on a rigorous analysis of the available data and you should provide a concise summary of any technical details in an appendix . Please be explicit about any important limitations that your analysis might have.

Please br ake up report into sections with sensible and self-explanatory headings because it makes them much easier to read and understand.

Paul has provided you with an Excel spreadsheet that Carol sent him. It contains data that Carol collected on the variables she thought might have a significant influence on the demand for QKits™. It also contains some notes Carol made about the data and how to proceed with the analysis. Keep the notes in the spreadsheet to be true, and use it as a starting point for the analysis. If Carol thought the data should be treated in a particular way, then that’s what you should do."

Price: $15.91

Solution: The downloadable solution consists of 7 pages, 891 words.
Deliverable: Word Document