Company Dashboard – Firm MATRIX – Period 2

SPI Revenues (M$) Earning Before Taxes (M$)

Total Market Share (%U) Total Market Share (%$)

Brand Revenues (M$) Brand Contribution (M$)

Page 1 sur 29
 Financial Report – Firm MATRIX – Period 2
The financial statements of firm MATRIX published for Period 2 have been prepared on December 31st, Period 2 in accordance with International Financial
Reporting Standards (IFRS), as adopted in the Markstrat world.

Company Profit & Loss Statement

The table below shows the evolution of firm MATRIX financial results in thousands of dollars, as well as the cumulative results since Period 0.

Period 2 Period 1 Period 0 Cumulative

Revenues 66,069 50,443 43,225 159,737
Cost of goods sold ­28,150 ­23,012 ­23,077 ­74,239
Inventory costs ­3 ­9 ­14 ­26
Contribution before marketing 37,915 27,422 20,134 85,471
Advertising expenditures ­5,110 ­5,132 ­4,000 ­14,242
Commercial costs ­2,514 ­1,514 ­1,224 ­5,252
Contribution after marketing 30,291 20,777 14,910 65,978
Market research studies ­483 ­495 ­245 ­1,223
Research and development 0 0 0 0
Loan reimbursed 0 0 0 0
Loan received 0 0 0 0
Loan interests paid 0 0 0 0
Exceptional cost or profit 0 0 0 0
Earnings before taxes 29,808 20,282 14,665 64,755

Your budget limit of $8,100k was overspent by $137k. Your marketing expenditures were arbitrarily reduced as follows: (1) advertising expenditures reduced by $137k across all
brands; (2) R&D expenditures reduced by $0k across all projects.

Brand contribution
The table below shows a comparison of the net contribution generated by the brands marketed by firm MATRIX in Period 2.

MOST MOVE
Sonites Sonites
Revenues 26,552 39,517
Cost of goods sold ­9,518 ­18,633
Inventory holding cost ­3 0
Inventory disposal loss 0 0
Contribution before marketing 17,031 20,884
Advertising media ­1,933 ­2,912
Advertising research ­105 ­160
Commercial costs ­1,210 ­1,304
Contribution after marketing 13,783 16,508

Revenues Contribution after Marketing

Note: brands with low revenues or contribution (< 5% total) are not shown on this chart

Page 2 sur 29
 Marketing results
The section below provides key marketing results for each of your marketed brands

Market Shares

MOST MOVE
Sonites Sonites
Volume Market Share 11.5 % 12.7 %
Value Market Share 7.6 % 11.6 %

Volume sold
The table below provides the volume sold for each of your marketed brands in each of the three distribution channels. Sales are given in thousands of units.

MOST MOVE
Sonites Sonites
Specialty stores 41 80
Mass Merch. 107 72
Online Stores 21 35

Distribution Coverage
The distribution coverage figures in the chart and table below represent the proportion of distributors who carry a given product. The report gives the information
for each brand currently on the market. The number of distributors in each distribution channel is provided as well.

MOST MOVE
Sonites Sonites
Specialty stores 36 % 40 %
Mass Merch. 52 % 46 %
Online Stores 49 % 57 %

Specialty stores Mass Merch. Online Stores

Number of distributors 9,777 6,166 1,027

Brand prices
The table below shows the prices in $ of your marketed brands. The Recommended Retail Price is the price that you specified in your marketing mix decisions. The
Average Retail Price is the average end­user price, taking into account the discount offered by distributors. Finally, the Average Selling Price is equal to the
Average Retail Price minus the distribution margins.

MOST MOVE
Sonites Sonites
Recommended Retail Price $ 250 $ 339
Average Retail Price $ 233 $ 323
Average Selling Price $ 157 $ 211

Page 3 sur 29
 Production Report – Firm MATRIX – Period 2
The report below provides with information on production levels and production costs for each of the brands marketed in Period 2.

Sales, Production and Inventory

The chart below shows the units sold , the production level and inventory level for each of your brands at the end of Period 2.All numbers are given in thousands
of units.

Despite all the efforts made by the Production department, they were not able to fullfill all the orders for MOVE this period. As a consequence, some potential sales of MOVE
have been lost.

The table below provides you with additional details such as planned production versus the actual one, and the inventory levels at the beginning and at the end of
Period 2.All numbers are given in thousands of units.

MOST MOVE
Sonites Sonites
Units sold 169 187
Production Plan (your decision) 170 155
Production 170 186
Inventory at beginning of period 0 1
Inventory at end of period 1 0

Unit Cost, COGS and Inventory Holding Cost

The table below shows the unit transfer cost for each of yourmarketed brands. The “current“ unit cost is the cost of the most recently produced units, while the
“average” unit cost takes into account the units that were in your inventory at the beginning of the period. Unit transfer costs are given in $; units sold in
thousands of units.
COGS (Cost of Goods Sold) are equal to “Units sold” x “Average unit transfer cost”. COGS are given in thousands of $. Finally, this table shows the costs incurred
for holding your inventory(storage cost, cost of capital, …). Inventory holding cost is equal to: “Units in inventory” x “Average unit transfer cost” x 8%. It is given in
thousands of $.

MOST MOVE
Sonites Sonites
Current unit transfer cost 56 100
Average unit transfer cost 56 100
Units sold 169 187
COGS 9,518 18,633
Inventory at end of period 1 0
Inventory holding cost 3 0

Page 4 sur 29
 R&D Report – Firm MATRIX – Sonites Market – Period 2
This report provides information on the activities conducted for your division by the R&D department during Period 2.

Projects completed in Period 2

No projects have been completed in Period 2.

Projects completed in past periods

The projects listed below have been completed in past periods. The ones at the top are currently used as the production platform of one or several of your
marketed brands. The ones in italic, if any, are either no longer used or have never been used to produce a brand.

Available Physical Characteristics Base Cost in $ Cumulative Platform of

Since Features (1) Design (2) Battery (3) Display (4) Power (5) Current Minimum Budget (K$) Brand
POMOST Period 0 13 5 42 12 10 82 49 1,500 MOST
POMOVE Period 0 11 6 51 24 35 142 90 2,000 MOVE
(1) Features (Number of): From 5 To 20. (2) Design (Index): From 3 To 10. (3) Battery (Hour): From 24 To 96. (4) Display (Inch): From 4 To 40. (5) Power (Gflops): From 5 To 100.

Projects partially developed in Period 2

You have no partially completed projects.

Shelved projects
You have no shelved projects.

Page 5 sur 29
 Decision Review – Firm MATRIX – Sonites Market – Period 2
This report provides a review of the decisions made by firm MATRIX at the beginning of Period 2.

Resource Allocation Overview

The three charts below show how resources have been allocated across markets, functions and brands. All numbers are given in thousands of dollars.

Resource Allocation by Market Resource Allocation by Function – Sonites Brands

Resource Allocation by Brand

Brand Portfolio

MOST MOVE
Portfolio operation Maintained Maintained
Base project past period POMOST POMOVE
Base project this period POMOST POMOVE

Marketing Mix

MOST MOVE
Production planning (in units) 170,000 155,000
Recommended retail price (in $) 250 339
Advertising media (in K$) 1,985 2,990
Advertising research (in K$) 105 160

Segmentation Strategy

MOST MOVE
Explorers 10 %
Shoppers 15 % 70 %
Professionals 15 %
High Earners 5%
Savers 85 %

Perceptual Objectives

MOST MOVE
Dimension 1 Economy Performance
Position 1 13 ­1
Dimension 2 Performance Economy
Position 2 ­12 4

Page 6 sur 29
 Commercial Team Size
The table below shows the number of commercial people allocated to each brand in each channel during Period 2.

MOST MOVE
Specialty stores 15 16
Mass Merch. 24 18
Online Stores 15 24
TOTAL 54 58

The two charts below show how your commercial team is allocated across channels and brands. All numbers are given in number of salespeople.

Market Research Studies – Sonites Market

The table below lists the market research studies purchased by firm MATRIX in Period 2, as well as the cost in dollars.

Purchased Studies Cost in $

Industry benchmarking 31,750
Consumer survey 63,750
Consumer panel 106,000
Distribution panel 63,750
Semantic scales 10,500
Multidimensional scaling 37,250
Market forecast 21,250
Competitive advertising 31,750
Competitive commercial team 16,000
Advertising experiment 26,500
Commercial team experiment 37,250
Conjoint 37,250
TOTAL 483,000

Page 7 sur 29
 Industry Dashboard – Firm MATRIX – Period 2
Stock Market 2 Share Price Index Evolution

SPI REV NC Cum. NC

NINJAH 1,677 70 32 64
LAULE 1,617 68 30 59
MATRIX 1,343 66 30 65
Rocket 1,257 55 22 48
TRUIE 1,078 43 15 38
SHABBAT 899 35 13 42
SPI: Share Price Index. Rev.: Revenues (million $). NC: Net Contribution (million $). Cum.
NC: Cumulative NC (million $).

Industry Retail Sales Industry Volume

Value Market Shares Unit Market Shares

Top Selling Brands – Retail Sales Top Selling Brands – Volume

in million $ in thousands of units

Page 8 sur 29
 Industry Information – Period 2
This report provides economic and costing data for the current period as well as estimates for the next period.

Economic Variables

Current Period Value Next Period Estimation

GNP Growth Rate % 3% 3%
Inflation Rate % 2% 2%
Inventory holding cost per annum % Transfer Cost 8% 8%
Loss incurred for inventory disposal % Transfer Cost 20 % 20 %
Commercial people operating cost $ 21,224 21,649
Commercial people hiring and training cost $ 3,184 3,247
Commercial people firing cost $ 5,306 5,412

Market Research Costs

All Markets Sonites Vodites

Industry benchmarking 32,500
Competitive advertising 32,500 32,500
Competitive commercial team 16,250 16,250
Conjoint 38,000 38,000
Consumer panel 108,250 75,750
Consumer survey 65,000 43,250
Distribution panel 65,000 54,000
Advertising experiment 27,000 27,000
Commercial team experiment 38,000 38,000
Market forecast 21,750 21,750
Multidimensional scaling 38,000 38,000
Semantic scales 10,750 10,750
TOTAL 32,500 460,500 395,250
(all numbers in $)

Page 9 sur 29
 Market Report – Sonites Market – Period 2
This report provides general information on the 12 Sonites brands marketed in Period 2.

Brand Retail Sales & Volume

The two tables below show the marketed brand retail sales (in thousands of $) and the volume (in thousands of units) , sorted in decreasing order. Shares of
market in value and in unit are also provided
Brand Value Share Retail Sales Variation Brand Unit Share Volume Variation
ROCK 15.3 % 79,882 27,517 MOVE 12.7 % 187 61
LOOP 14.0 % 73,491 15,563 ROCK 12.0 % 176 72
MOVE 11.6 % 60,317 19,443 MOST 11.5 % 169 25
NOVA 11.4 % 59,429 15,929 NOON 10.7 % 157 40
TONE 10.2 % 53,497 13,571 LOOP 10.3 % 151 34
NOON 9.4 % 48,920 10,514 LOCK 9.4 % 138 47
MOST 7.6 % 39,388 3,822 SOFT 7.8 % 115 ­9
LOCK 6.2 % 32,132 10,770 NOVA 7.6 % 112 30
SOLO 6.0 % 31,440 ­5,862 TONE 7.5 % 110 34
SOFT 4.4 % 22,479 ­1,765 SOLO 6.8 % 100 ­18
TOPS 2.6 % 13,514 ­6,161 TOPS 2.7 % 39 ­14
ROLL 1.3 % 7,010 ­19,901 ROLL 1.0 % 14 ­41
TOTAL 100.0 % 521,499 83,440 ­ TOTAL 100.0 % 1,470 261 ­

Brand Characteristics
The table below lists the physical attributes of marketed brands, as well as their price and estimated unit cost, both in $.

Brand Launched in Features (1) Design (2) Battery (3) Display (4) Power (5) Price Base Cost ($) Base Cost (%Price)
LOCK Period 0 10 4 38 16 17 250 73 29 %
LOOP Period 0 17 5 87 32 80 500 203 41 %
MOST Period 0 13 5 42 12 10 250 80 32 %
MOVE Period 0 11 6 51 24 35 339 139 41 %
NOON Period 0 13 8 51 20 30 325 130 40 %
NOVA Period 0 20 8 92 22 38 550 162 29 %
ROCK Period 0 14 6 42 36 75 469 181 39 %
ROLL Period 0 13 4 60 36 90 499 209 42 %
SOFT Period 0 7 4 38 8 17 210 69 33 %
SOLO Period 0 7 5 47 24 30 330 115 35 %
TONE Period 0 14 5 51 24 75 500 149 30 %
TOPS Period 0 11 3 29 38 88 350 174 50 %
(1) Features (Number of): From 5 To 20. (2) Design (Index): From 3 To 10. (3) Battery (Hour): From 24 To 96. (4) Display (Inch): From 4 To 40. (5) Power (Gflops): From 5 To 100.

Page 10 sur 29
 Industry Benchmarking – Period 2
The benchmarking study compiles general information from annual reports about each of the Markstrat competitors. Data is provided in a common format for all
companies to allow an easy comparison of competitive performance.

Overall Company Performances and Expenditures

The two charts below show the overall performances of the competing firms in term of revenues and profits, in million $, as well as their expenditures in the main
cost categories in million $.

Company Profit & Loss Statements

The table below provides an estimated P&L statement of the competing firms, in the same format as the one in your financial statements. All numbers are given
in million $.

LAULE MATRIX NINJAH Rocket SHABBAT TRUIE

Revenues 68.2 66.1 69.9 55.4 35.5 42.7
Cost of goods sold ­30.5 ­28.2 ­29.7 ­26.5 ­14.6 ­19.8
Inventory costs 0 0 0 0 ­0.1 ­0.1
Contribution before marketing 37.7 37.9 40.2 28.9 20.7 22.8
Advertising expenditures ­5.4 ­5.1 ­4.2 ­3.7 ­4 ­3.5
Commercial team costs ­1.5 ­2.5 ­2 ­1.2 ­1.5 ­1.3
Contribution after marketing 30.8 30.3 34.1 23.9 15.2 17.9
Market research studies ­0.4 ­0.5 ­0.3 ­0.5 ­0.5 ­0.5
Research and development 0 0 ­1.6 ­1.9 ­1.3 ­2
Interests paid 0 0 0 0 0 0
Exceptional cost or profit 0 0 0 0 0 0
Earnings before taxes 30.4 29.8 32.1 21.6 13.4 15.5
Next Period Budget 12.2 11.9 12.9 8.6 7.4 7.4

Page 11 sur 29
 Consumer Survey – Sonites Market – Period 2
This survey questionnaire has been administered to 3,000 individuals during Period 2. It gives brand awareness, purchase intentions and shopping habit data for
each consumer segment in the Sonites market

Brand Awareness
The brand awareness figures in the chart and table below represent the proportion of individuals who have unaided recall of a brand name. The report gives the
information for each brand currently on the market, in total and by consumer segment.

Average Brand Awareness (in %)

Brand Awareness by Consumer Segment

Brand Firm Explorers Shoppers Professionals High Earners Savers

LOCK LAULE 37 % 46 % 41 % 39 % 54 %
LOOP LAULE 69 % 60 % 79 % 77 % 41 %
MOST MATRIX 49 % 64 % 43 % 42 % 70 %
MOVE MATRIX 64 % 80 % 67 % 61 % 42 %
NOON NINJAH 59 % 70 % 69 % 57 % 43 %
NOVA NINJAH 51 % 55 % 70 % 74 % 38 %
ROCK Rocket 61 % 54 % 79 % 78 % 40 %
ROLL Rocket 55 % 49 % 51 % 48 % 28 %
SOFT SHABBAT 50 % 66 % 44 % 43 % 72 %
SOLO SHABBAT 63 % 77 % 55 % 54 % 48 %
TONE TRUIE 63 % 48 % 70 % 71 % 36 %
TOPS TRUIE 49 % 39 % 51 % 42 % 29 %

Page 12 sur 29
 Purchase Intentions
The purchase intentions figures in the chart and table below represent the proportion of individuals who would select a brand as their first choice, if they were
buying within a year. The report gives the information for each brand currently on the market, in total and by consumer segment. Please note that these figures
correspond to the situation of the period when the study is done and does not necessarily represent purchase intentions for the following year.

Average Purchase Intentions

Purchase Intentions by Consumer Segment

Brand Firm Explorers Shoppers Professionals High Earners Savers

LOCK LAULE 2.2 % 3.1 % 1.0 % 1.1 % 28.0 %
LOOP LAULE 13.9 % 2.2 % 27.7 % 17.9 % 0.6 %
MOST MATRIX 2.4 % 3.5 % 1.0 % 1.1 % 30.1 %
MOVE MATRIX 10.1 % 36.2 % 4.6 % 5.0 % 4.4 %
NOON NINJAH 6.7 % 27.1 % 4.5 % 4.9 % 6.0 %
NOVA NINJAH 3.7 % 1.8 % 7.9 % 26.5 % 0.6 %
ROCK Rocket 13.9 % 2.1 % 26.2 % 17.1 % 0.6 %
ROLL Rocket 7.4 % 1.1 % 5.5 % 4.1 % 0.3 %
SOFT SHABBAT 2.6 % 3.4 % 0.9 % 1.1 % 22.9 %
SOLO SHABBAT 8.2 % 16.3 % 3.0 % 3.6 % 5.5 %
TONE TRUIE 10.8 % 1.9 % 12.8 % 14.7 % 0.6 %
TOPS TRUIE 18.2 % 1.3 % 4.8 % 2.9 % 0.4 %
TOTAL ­ 100 % 100 % 100 % 100 % 100 %

Shopping Habits
The shopping habit data in the chart below represent, for each channel, the proportion of individuals who would choose that channel when shopping for a
Sonites.

Page 13 sur 29
 Consumer Panel – Sonites Market – Period 2
The consumer panel study shown below is based on a sample group of over 500 consumers whose buying behavior is believed to be representative of the entire
Sonites market. It provides market shares by consumer segment as well as industry sales in this product category

Market Shares (Based on units sold)

The market shares figures in the chart and table below represent the proportion of individuals who have purchased a given brand during Period 2. The report
gives the information for each brand currently on the market, in total and by consumer segment

Total Market Shares (%Unit)

Market Shares by Consumer Segment (%Unit)

Brand Firm Explorers Shoppers Professionals High Earners Savers

LOCK LAULE 2.0 % 2.9 % 0.9 % 1.0 % 27.3 %
LOOP LAULE 15.2 % 1.9 % 26.8 % 16.5 % 0.5 %
MOST MATRIX 2.6 % 3.8 % 1.1 % 1.2 % 33.2 %
MOVE MATRIX 11.4 % 37.9 % 5.0 % 5.4 % 4.5 %
NOON NINJAH 8.4 % 28.4 % 5.1 % 5.4 % 5.7 %
NOVA NINJAH 4.5 % 1.8 % 8.7 % 28.2 % 0.5 %
ROCK Rocket 17.8 % 2.3 % 30.5 % 19.6 % 0.6 %
ROLL Rocket 2.6 % 0.3 % 1.7 % 1.3 % 0.1 %
SOFT SHABBAT 2.2 % 3.1 % 0.7 % 1.0 % 21.9 %
SOLO SHABBAT 8.1 % 15.0 % 2.7 % 3.3 % 5.0 %
TONE TRUIE 12.8 % 1.9 % 13.9 % 15.6 % 0.6 %
TOPS TRUIE 12.3 % 0.7 % 2.8 % 1.6 % 0.2 %
TOTAL ­ 100 % 100 % 100 % 100 % 100 %

Industry Volume (based on units sold)

The charts below give the unit product category sales by consumer segment and in total. The relative sizes of the 5 consumer segments are provided as well.

Unit Sales by Consumer Segment in thousands of units Relative Consumer Segment Sizes

Page 14 sur 29
 Distribution Panel – Sonites Market – Period 2
The distribution panel provides continuous tracking of product sales to consumers, based on information gathered at the retail point­of­sale. Information is
primarily gathered from scanning cash­registers with supplementary store audits. Our read represents sales in about 35,000 retail outlets in the Markstrat world.
This report gives market shares and coverage data, by distribution channel.

Sales and Market Shares by Channel

The table and charts below provide the market shares, based on unit sold, by channel for each brand currently on the market. They also give the unit product
category sales by channel and in total. The relative sizes of the channel are provided as well.

Market Shares by Channel (%Unit)

Brand Firm Specialty stores Mass Merch. Online Stores

LOCK LAULE 5% 16 % 6%
LOOP LAULE 14 % 5% 13 %
MOST MATRIX 6% 19 % 10 %
MOVE MATRIX 12 % 13 % 16 %
NOON NINJAH 11 % 9% 12 %
NOVA NINJAH 9% 5% 11 %
ROCK Rocket 16 % 7% 14 %
ROLL Rocket 1% 1% 1%
SOFT SHABBAT 5% 14 % 2%
SOLO SHABBAT 7% 8% 3%
TONE TRUIE 9% 4% 11 %
TOPS TRUIE 4% 1% 3%
TOTAL ­ 100 % 100 % 100 %

Unit Sales by Channel in thousands of units Relative Channel Sizes (%Units Sold)

Page 15 sur 29
 Distribution Coverage
The distribution coverage figures in the chart and table below represent the proportion of stores who carry a given brand. The report gives the information for
each brand currently on the market. The number of outlets in each distribution channel is provided as well.

Distribution Coverage by Channel (%Stores)

Brand Firm Specialty stores Mass Merch. Online Stores

LOCK LAULE 32 % 48 % 29 %
LOOP LAULE 46 % 29 % 35 %
MOST MATRIX 36 % 52 % 49 %
MOVE MATRIX 40 % 46 % 57 %
NOON NINJAH 47 % 35 % 47 %
NOVA NINJAH 47 % 34 % 48 %
ROCK Rocket 48 % 44 % 37 %
ROLL Rocket 16 % 14 % 12 %
SOFT SHABBAT 33 % 50 % 11 %
SOLO SHABBAT 40 % 44 % 12 %
TONE TRUIE 44 % 36 % 49 %
TOPS TRUIE 26 % 14 % 21 %

Number of outlets in each Channel Relative Channel Sizes (%Outlet)

Page 16 sur 29
 Semantic Scales – Sonites Market – Period 2
The semantic scales study provides data based on a semantic differential questionnaire administered to 600 individuals. Several semantic scales corresponding to
the Sonites physical attributes were presented to the respondents. The figure below shows a sample scale for Power.

Several crucial information are derived from these questionnaires: brand perceptions, ideal value along each scale, ideal value evolution, brand maps.

Brand perceptions
Respondents are asked to rate each brand according to the way they perceive the brand on each characteristic. The reported results are summarized in the table
below, using the mean value for each brand.

Brand Firm Features Design Battery Display Power Price

LOCK LAULE 2.9 2.0 2.2 2.9 1.7 2.4
LOOP LAULE 5.9 2.6 6.4 5.8 5.8 5.8
MOST MATRIX 4.3 2.3 2.4 2.3 1.5 2.2
MOVE MATRIX 3.3 3.2 3.1 4.5 3.0 3.6
NOON NINJAH 4.3 5.7 3.1 3.7 2.6 3.5
NOVA NINJAH 6.5 5.7 6.5 4.1 3.3 6.4
ROCK Rocket 4.8 3.6 2.5 6.4 5.5 5.7
ROLL Rocket 4.3 1.6 4.0 6.4 6.4 6.2
SOFT SHABBAT 1.8 1.9 2.2 1.7 1.8 2.2
SOLO SHABBAT 1.8 2.6 2.9 4.5 2.6 3.6
TONE TRUIE 4.7 2.4 3.1 4.4 5.5 5.8
TOPS TRUIE 3.3 1.5 1.5 6.5 6.3 5.0

Ideal Values
Respondents are also asked to indicate their preferred (also called “Ideal”) value on each scale. The reported results are summarized in the table below, using the
mean value for each segment.

Segment Features Design Battery Display Power Price

Explorers 4.6 2.0 5.8 5.9 6.2 3.7
High Earners 3.3 6.2 3.5 4.4 4.6 5.5
Professionals 5.3 5.7 5.0 5.6 5.5 5.1
Savers 2.6 3.9 1.8 2.8 2.3 2.1
Shoppers 1.9 5.2 3.0 4.2 3.9 3.2

Importance of characteristics
Finally, respondents are asked to rate the importance of each characteristic in their purchasing decision. Although consumer segments differ on the exact
importance ratings attributed to the characteristics, they tend to agree on the ranking of the scales, i.e. their “relative” importance. This is why only average value
are reported on the chart below. Ratings are given on a scale from 1 (not important) to 10 (very important).

Page 17 sur 29
 Brand Maps
Maps representing consumers’ perceptions based on the semantic scales can be obtained for each pair of attributes. Five maps are provided below. We invite you
to export data into Excel and draw additional maps if needed

Page 18 sur 29
Page 19 sur 29
 Ideal Value Evolution
This study monitors the evolution of consumer needs over time. The preferred values on each scale over the past 3 years are recorded in the table below, for each
consumer segment.

Segment Period Features Design Battery Display Power Price

Explorers Period 0 4.7 1.7 6.2 6.1 6.4 3.4
Explorers Period 1 4.7 1.8 6.0 6.0 6.3 3.6
Explorers Period 2 4.6 2.0 5.8 5.9 6.2 3.7
Explorers Period 3 4.5 2.2 5.7 5.8 6.1 3.8
Explorers Period 4 4.4 2.5 5.5 5.7 5.9 3.9
Explorers Period 5 4.3 2.8 5.4 5.7 5.8 4.0
Explorers Period 6 4.3 3.1 5.2 5.7 5.7 4.3
High Earners Period 0 3.3 6.3 3.6 4.8 4.8 5.6
High Earners Period 1 3.3 6.3 3.5 4.6 4.7 5.6
High Earners Period 2 3.3 6.2 3.5 4.4 4.6 5.5
High Earners Period 3 3.3 6.2 3.5 4.2 4.4 5.5
High Earners Period 4 3.3 6.2 3.5 4.0 4.3 5.5
High Earners Period 5 3.3 6.1 3.4 3.9 4.2 5.5
High Earners Period 6 3.3 6.1 3.3 3.8 4.1 5.4
Professionals Period 0 5.8 5.8 5.1 5.4 5.1 4.7
Professionals Period 1 5.5 5.7 5.0 5.5 5.3 4.9
Professionals Period 2 5.3 5.7 5.0 5.6 5.5 5.1
Professionals Period 3 5.0 5.6 4.9 5.7 5.7 5.4
Professionals Period 4 4.8 5.5 4.9 5.7 5.8 5.6
Professionals Period 5 4.7 5.5 4.8 5.8 5.9 5.7
Professionals Period 6 4.6 5.5 4.8 5.9 5.9 5.9
Savers Period 0 2.5 3.9 1.7 2.4 2.2 2.2
Savers Period 1 2.5 3.9 1.8 2.6 2.2 2.1
Savers Period 2 2.6 3.9 1.8 2.8 2.3 2.1
Savers Period 3 2.6 3.9 1.8 2.9 2.3 2.1
Savers Period 4 2.7 3.9 1.8 3.1 2.3 2.1
Savers Period 5 2.7 4.0 1.9 3.2 2.4 2.1
Savers Period 6 2.8 4.1 2.0 3.3 2.5 2.1
Shoppers Period 0 1.8 5.2 3.0 3.9 3.6 3.3
Shoppers Period 1 1.8 5.2 3.0 4.1 3.7 3.3
Shoppers Period 2 1.9 5.2 3.0 4.2 3.9 3.2
Shoppers Period 3 2.0 5.1 3.0 4.3 4.0 3.2
Shoppers Period 4 2.0 5.1 2.9 4.4 4.2 3.2
Shoppers Period 5 2.1 5.1 2.9 4.6 4.2 3.1
Shoppers Period 6 2.3 5.1 2.9 4.7 4.3 3.0

Online Tool ­ Additional Charts

The most important charts and graph of the Semantic Scales study are given in the above report.

An online tool provides additional charts that will allow you to:
­ Monitor the evolution of ideal values in a visual way
­ Design Powerful R&D projects as described in section VI.3.A of the Markstrat Handbook

Access Additional Charts

Page 20 sur 29
 Multidimensional Scaling of Brand Similarities & Preferences – Sonites Market – Period 2
This study provides a joint space configuration obtained with non­metric multidimensional scaling. It relies on similarity and preference data on the complete set
of brands available in the market. These data were obtained through interviews with 200 individuals.

Perceptual Map
The study provides a graphical representation of the perceptual positioning of Sonites brands and consumer segments’ ideal points. Three dimensions,
interpreted as Economy, Performance, Convenience were sufficient to provide a good fit to the data. The two perceptual maps are given below.

Perceptual Map – Economy X Performance

Perceptual Map – Economy X Convenience

Page 21 sur 29
 Brand Perceptions
The table below gives the coordinates of the brand positions on the perceptual map, on a scale from ­20 to +20.

Brand Firm Economy Performance Convenience

LOCK LAULE 11 ­13 ­12
LOOP LAULE ­12 12 ­2
MOST MATRIX 12 ­16 ­10
MOVE MATRIX 3 ­4 ­5
NOON NINJAH 3 ­7 7
NOVA NINJAH ­16 ­3 13
ROCK Rocket ­11 12 ­4
ROLL Rocket ­15 16 ­11
SOFT SHABBAT 12 ­15 ­14
SOLO SHABBAT 3 ­6 ­10
TONE TRUIE ­12 8 ­8
TOPS TRUIE ­7 16 ­17

Ideal Values
The table below gives the coordinates of the brand positions on the perceptual map, on a scale from ­20 to +20.

Segment Economy Performance Convenience

Explorers 2 14 ­7
High Earners ­10 3 9
Professionals ­8 10 10
Savers 13 ­11 ­4
Shoppers 5 0 3

Ideal Value Evolution

This study monitors the evolution of consumer needs over time. The preferred values on each perceptual map dimension over the past 3 years are recorded in the
table below, for each consumer segment.

Segment Period Economy Performance Convenience

Explorers Period 0 4 15 ­7
Explorers Period 1 3 15 ­7
Explorers Period 2 2 14 ­7
Explorers Period 3 1 13 ­6
Explorers Period 4 1 13 ­5
Explorers Period 5 0 12 ­4
Explorers Period 6 ­2 12 ­3
High Earners Period 0 ­11 5 10
High Earners Period 1 ­11 5 9
High Earners Period 2 ­10 3 9
High Earners Period 3 ­10 2 9
High Earners Period 4 ­10 1 9
High Earners Period 5 ­10 1 9
High Earners Period 6 ­9 0 8
Professionals Period 0 ­5 8 11
Professionals Period 1 ­6 9 11
Professionals Period 2 ­8 10 10
Professionals Period 3 ­9 11 10
Professionals Period 4 ­10 12 9
Professionals Period 5 ­12 12 9
Professionals Period 6 ­12 13 9
Savers Period 0 12 ­12 ­5
Savers Period 1 12 ­11 ­4
Savers Period 2 13 ­11 ­4
Savers Period 3 13 ­10 ­4
Savers Period 4 13 ­10 ­4
Savers Period 5 13 ­9 ­4
Savers Period 6 13 ­8 ­3
Shoppers Period 0 5 ­2 3
Shoppers Period 1 5 ­1 3
Shoppers Period 2 5 0 3
Shoppers Period 3 5 1 3
Shoppers Period 4 6 2 2
Shoppers Period 5 6 2 2
Shoppers Period 6 7 3 2

Page 22 sur 29
 Influence of Product Characteristics on Perceptual Dimensions
An indication of the influence of product characteristics on perceptual dimensions is provided in the table below to help you interpret the dimension that were
derived from the study.

Dimension Features Design Battery Display Power Price

Economy None None None None Slight Strong
Performance None None None Strong Very Strong None
Convenience Moderate Strong Moderate None None None

Online Tool - Additional Charts

The most important charts and graph of the Semantic Scales study are given in the above report.

An online tool provides additional charts that will allow you to:
­ Monitor the evolution of ideal values in a visual way
­ Design Powerful R&D projects as described in section VI.3.B of the Markstrat Handbook

Access Additional Charts

Page 23 sur 29
 Competitive Intelligence – Sonites Market – Period 2
This two studies provide estimates of the advertising and commercial team budgets spent by the 6 companies in the Sonites market during Period 2.

Competitive Advertising Estimates

Estimates of competitive advertising budgets are given by firm, by brand and by consumer segments. The breakdown by brand and consumer segment is also
provided. All brands marketed in the current period are included in the study.

Estimated Total Advertising Expenditures (in million dollars) – By Firm and by Consumer Segment

Estimated Brand Advertising Expenditures (in thousand dollars) – Total and by Consumer Segment
Brand Explorers Shoppers Professionals High Earners Savers TOTAL
LOCK 230 400 230 230 1,150 2,240
LOOP 580 370 1,050 950 310 3,260
MOST 160 370 160 160 1,160 2,010
MOVE 420 1,480 530 370 260 3,060
NOON 210 740 640 320 210 2,120
NOVA 210 310 530 890 210 2,150
ROCK 340 340 1,270 1,380 340 3,670
ROLL 70 70 10 10 10 170
SOFT 180 410 180 180 1,060 2,010
SOLO 290 1,060 180 180 290 2,000
TONE 510 230 790 790 230 2,550
TOPS 360 260 210 160 100 1,090
TOTAL 3,560 6,040 5,780 5,620 5,330 26,330

Estimated Communication Dimensions and Message Quality

The table below provides an estimate of the dimensions that have been used in brand communication, as well as an estimate of the message quality. Higher
message qualities are obtained with higher advertising research budgets.

Brand Firm Communication Dimensions Message Quality

LOCK LAULE Convenience & Economy Excellent
LOOP LAULE Convenience & Economy Poor
MOST MATRIX Economy & Performance Poor
MOVE MATRIX Performance & Economy Average
NOON NINJAH Economy & Performance Poor
NOVA NINJAH Economy & Performance Poor
ROCK Rocket Convenience & Economy Excellent
ROLL Rocket Poor
SOFT SHABBAT Convenience & Performance Excellent
SOLO SHABBAT Performance & Convenience Excellent
TONE TRUIE Economy & Convenience Excellent
TOPS TRUIE Economy & Convenience Poor

Page 24 sur 29
 Competitive Commercial Team Size Estimates
Estimates of competitive commercial team size are given by firm, by brand and by distribution channel. The breakdown by brand and channel is also provided. All
brands marketed in the current period are included in the study.

Estimated Commercial Team Size (in full­time equivalent) – By Firm and by Distribution Channel

Estimated Brand Commercial Team Sizes (in commercial people equivalent) – Total and by Distribution Channel
Brand Specialty stores Mass Merch. Online Stores TOTAL
LOCK 12 19 5 36
LOOP 20 8 6 34
MOST 15 24 15 54
MOVE 16 18 24 58
NOON 23 11 12 46
NOVA 23 11 12 46
ROCK 22 17 7 46
ROLL 3 2 1 6
SOFT 13 21 1 35
SOLO 17 17 1 35
TONE 20 13 13 46
TOPS 8 3 3 14
TOTAL 192 164 100 456

Page 25 sur 29
 Advertising and Commercial Team Experiment – Sonites Market – Period 2
This study provides the results of the advertising and commercial team experiments that were been conducted in a selected regional test market on Sonites
brands during Period 2.

Advertising Experiment
This experiment is conducted by increasing advertising budgets in a selected regional market. The results of the study are used to project the level of awareness
and the market share that would have been achieved nationwide by each brand with the same increase in advertising, and if competitive actions have remained
unchanged. The impact on brand contribution is provided as well.

The results below would have been achieved by a given brand if its advertising budget had been increased by 20% and if competitive actions had remained
unchanged.

Expected Change in Contribution (in K$)

Expected Change in Brand Awareness Expected Change in unit Market Share (%U)

Brand Explorers Shoppers Professionals High Earners Savers Brand Explorers Shoppers Professionals High Earners Savers
MOST 0.9 % 0.9 % 1.2 % 1.1 % 1.4 % MOST 0.1 % 0.2 % 0.0 % 0.0 % 2.1 %
MOVE 1.3 % 1.1 % 1.5 % 1.1 % 0.8 % MOVE 0.2 % 1.2 % ­0.1 % ­0.2 % ­0.3 %

Commercial Team Experiment

This experiment is set up by increasing the number of commercial people per channel in a selected regional market. The results of the study are used to project
the additional number of distributors and the market share that would have been achieved nationwide by each brand with the same increase in commercial team
and if competitive actions have remained unchanged. The impact on brand contribution is provided as well.

The results below would have been achieved if the number of salespeople had been increased by 10 in each channel and if competitive actions had remained
unchanged.

Expected Change in Contribution (in K$)

Expected Change in Number of Distributors Expected Change in unit Market Share (%U)

Brand Specialty stores Mass Merch. Online Stores Brand Specialty stores Mass Merch. Online Stores
MOST 393 134 18 MOST 0.6 % 0.8 % 0.6 %
MOVE 405 161 10 MOVE 0.3 % 0.0 % 0.0 %

Page 26 sur 29
 Market Forecast – Sonites Market – Period 2
This study provides estimates of the expected market size in one period and in five periods. Results are given for the whole market and are also broken down by
consumer segment.

Total Market Size

The charts below show the actual market size this period and the expected market size in one and five periods. Market growth rates are reported as well. Market
sizes are given in thousands of units.

Market Size (in thousands of units) Market Growth rates (in %)

Market Size by Consumer Segment

The charts below show the actual market size this period and the expected market size in one and five periods. Results are broken down by segment. Relative
segment size , in % of the total market size, and segment growth rates are reported as well. Sizes are given in thousands of units.

Market size broken down by consumer segment (in thousands of units)

Consumer Segment Growth Rates (in % units)

Relative Consumer Segment Sizes (in % of total market size)

Current Period In Five Periods

Page 27 sur 29
 Conjoint Analysis – Sonites Market – Period 2
This study provides enables firms to estimate the relative importance of the price and physical characteristics of a product category. Only the three characteristics
that are perceived as most important are included in the study. The study also provides the utility attached by consumers to varying levels of price and
characteristics. Results are broken down by consumer segment.

Relative importance of price and physical characteristics

Utility charts
The charts below show the utilities attached to four arbitrary levels in each dimension included in the study. Utilities are measured on a scale from 0 (very low
utility) to 1 (very high utility): the higher the utility the higher the preference of consumer for the corresponding level in this dimension. The four levels have been
chosen in the feasible range for the dimension so as to test varying levels of interest for the segment. Results are broken down by consumer segments.

Explorers

High Earners

Page 28 sur 29
 Professionals

Savers

Shoppers

Page 29 sur 29